Paraguay vs France
Tax Residency Comparison
Paraguay taxes foreign income at 0% through its territorial system, while France taxes residents at up to 45%. French switching to Paraguay residency save $55,000 - $220,000+ per year on average, with a fast 90-day process and only a $5,000 bank deposit required.
Side-by-Side Tax Comparison
| Category | 🇵🇾 Paraguay | 🇫🇷 France |
|---|---|---|
| Foreign Income Tax | 0% | up to 45% |
| Capital Gains Tax | 8% | 30% flat tax |
| Corporate Tax | 10% | 25% |
| Wealth Tax | None | 0.5-1.5% IFI on real estate |
| Inheritance/Estate Tax | None | up to 60% for non-relatives |
| Residency Timeline | 90 days | N/A |
| Investment Required | $5,000 bank deposit | N/A |
| Physical Presence | Once every 3 years | 183+ days/year |
| Path to Citizenship | 3 years to citizenship | Varies |
Why French Choose Paraguay
Save $55,000 - $220,000+/Year
The average french moving to Paraguay saves $55,000 - $220,000+ annually by eliminating up to 45% taxes on foreign-sourced income.
Territorial Tax System
Unlike France's worldwide taxation, Paraguay only taxes income generated within its borders. Foreign income is generally exempt.
Location Freedom
While France requires 183+ days presence, Paraguay only requires a visit once every 3 years to maintain residency.
Fast Process
Get permanent residency in just 90 days. No years of waiting, no complex point systems, no quotas.
The France Tax Problem
High social charges
Wealth tax on real estate (IFI)
Complex exit tax rules
Strict tax residency rules
Important: Leaving France
France has exit tax on unrealized gains. Careful planning with Paraguay residency can help manage French departure obligations.
Our team includes specialists familiar with France tax law who can help you navigate the transition properly and legally.
Who Should Consider Paraguay Over France?
Remote Workers
Keep 100% of your foreign-earned income instead of losing up to 45% to taxes.
Entrepreneurs
Build your business without the France tax burden holding you back.
Investors
Optimize capital gains with Paraguay's favorable 8% rate vs 30% flat tax.
Retirees
Stretch your pension and investments further with minimal tax obligations.
Frequently Asked Questions
Is Paraguay better than France for taxes?
For foreign income, Paraguay is dramatically better with 0% tax versus France's 45% top rate plus social charges. Paraguay also has no wealth tax, no inheritance tax, and no exit tax on future departures.
What's the tax difference between Paraguay and France?
France taxes worldwide income at up to 45%, imposes the IFI wealth tax on real estate, charges up to 60% inheritance tax, and has a 30% flat tax on investments. Paraguay taxes only local income at 10% with zero tax on foreign income.
Can French get Paraguay residency easily?
Yes. French citizens enter Paraguay visa-free and can apply for permanent residency directly. The process takes 4-6 weeks and requires only standard documentation without language or investment tests.
Explore More Resources
Everything you need to make an informed decision about Paraguay residency
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Last reviewed: February 2026