Paraguay vs Scandinavia
Tax Residency Comparison
Paraguay taxes foreign income at 0% through its territorial system, while Scandinavia taxes residents at up to 57%. Scandinavians switching to Paraguay residency save $70,000 - $300,000+ 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 | 🇸🇪 Scandinavia |
|---|---|---|
| Foreign Income Tax | 0% | up to 57% |
| Capital Gains Tax | 8% | 30-42% |
| Corporate Tax | 10% | 20-22% |
| Wealth Tax | None | 0.95-1.1% (Norway) |
| Inheritance/Estate Tax | None | 7-33% (Finland) |
| 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 Scandinavians Choose Paraguay
Save $70,000 - $300,000+/Year
The average scandinavians moving to Paraguay saves $70,000 - $300,000+ annually by eliminating up to 57% taxes on foreign-sourced income.
Territorial Tax System
Unlike Scandinavia's worldwide taxation, Paraguay only taxes income generated within its borders. Foreign income is generally exempt.
Location Freedom
While Scandinavia 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 Scandinavia Tax Problem
Highest tax rates in the world
Wealth taxes in Norway
Exit taxes on emigration
Limited deductions available
Important: Leaving Scandinavia
Nordic countries have strict residency rules. Paraguay offers a genuine residency alternative recognized internationally.
Our team includes specialists familiar with Scandinavia tax law who can help you navigate the transition properly and legally.
Who Should Consider Paraguay Over Scandinavia?
Remote Workers
Keep 100% of your foreign-earned income instead of losing up to 57% to taxes.
Entrepreneurs
Build your business without the Scandinavia tax burden holding you back.
Investors
Optimize capital gains with Paraguay's favorable 8% rate vs 30-42%.
Retirees
Stretch your pension and investments further with minimal tax obligations.
Frequently Asked Questions
Is Paraguay better than Scandinavia for taxes?
For personal income, Paraguay offers the largest possible savings with 0% on foreign income versus Scandinavian rates of 47-57%. Paraguay also eliminates Norway's wealth tax, Finnish inheritance tax, and Danish capital gains tax.
What's the tax difference between Paraguay and Scandinavia?
Scandinavian countries tax income at 47-57%, capital gains at 22-42%, and Norway imposes wealth tax of 0.95-1.1%. Paraguay taxes only local income at 10%, with zero tax on foreign income, no wealth tax, and no inheritance tax.
Can Scandinavians get Paraguay residency easily?
Yes. All Scandinavian passport holders enter Paraguay visa-free and can apply directly for permanent residency. The process takes 4-6 weeks with standard documentation and no language requirements.
Explore More Resources
Everything you need to make an informed decision about Paraguay residency
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Last reviewed: February 2026