Paraguay vs Ireland
Tax Residency Comparison
Paraguay taxes foreign income at 0% through its territorial system, while Ireland taxes residents at up to 40%. Irish switching to Paraguay residency save $35,000 - $140,000+ 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 | 🇮🇪 Ireland |
|---|---|---|
| Foreign Income Tax | 0% | up to 40% |
| Capital Gains Tax | 8% | 33% |
| Corporate Tax | 10% | 12.5% |
| Inheritance/Estate Tax | None | 33% CAT |
| 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 Irish Choose Paraguay
Save $35,000 - $140,000+/Year
The average irish moving to Paraguay saves $35,000 - $140,000+ annually by eliminating up to 40% taxes on foreign-sourced income.
Territorial Tax System
Unlike Ireland's worldwide taxation, Paraguay only taxes income generated within its borders. Foreign income is generally exempt.
Location Freedom
While Ireland 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 Ireland Tax Problem
High income tax rate kicks in at €40k
USC (Universal Social Charge) on top
High capital gains tax rate
Expensive cost of living
Important: Leaving Ireland
Ireland has specific non-resident rules. Paraguay residency helps establish a genuine foreign tax residence.
Our team includes specialists familiar with Ireland tax law who can help you navigate the transition properly and legally.
Who Should Consider Paraguay Over Ireland?
Remote Workers
Keep 100% of your foreign-earned income instead of losing up to 40% to taxes.
Entrepreneurs
Build your business without the Ireland tax burden holding you back.
Investors
Optimize capital gains with Paraguay's favorable 8% rate vs 33%.
Retirees
Stretch your pension and investments further with minimal tax obligations.
Frequently Asked Questions
Is Paraguay better than Ireland for taxes?
For personal income, Paraguay is significantly better with 0% tax on foreign income versus Ireland's 40% top rate plus USC. However, Ireland's 12.5% corporate rate is competitive, though Paraguay's 10% corporate rate is still lower.
What's the tax difference between Paraguay and Ireland?
Ireland taxes personal income at up to 40% plus USC, capital gains at 33%, and inheritance at 33%. Paraguay taxes only local income at 10%, with no tax on foreign income, no capital gains tax on foreign investments, and no inheritance tax.
Can Irish get Paraguay residency easily?
Yes. Irish citizens can enter Paraguay visa-free and apply for permanent residency directly. The process takes 4-6 weeks with straightforward documentation requirements and no language test.
Explore More Resources
Everything you need to make an informed decision about Paraguay residency
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Last reviewed: February 2026