Luxembourgers, Stop Paying up to 42% in Taxes
Paraguay charges 0% tax on foreign income through its territorial tax system, while Luxembourg taxes residents at rates of up to 42%. Luxembourgers who obtain Paraguay residency can legally eliminate foreign income taxes and save $35,000 - $140,000+ per year, with a straightforward 90-day process requiring only a $5,000 bank deposit.
The Luxembourg Tax Problem
As a Luxembourg tax resident, you're facing some of the highest tax rates in the world:
High income tax despite reputation
Net wealth tax for companies
Limited deductions for individuals
High property prices
The Paraguay Solution for Luxembourgers
Territorial Tax System
Paraguay only taxes income generated within its borders. Foreign-sourced income is generally tax-exempt.
Fast 90-Day Process
Get your permanent residency in as little as 90 days. No years of waiting like other programs.
Minimal Presence Required
Visit just once every 3 years to maintain residency. Live anywhere in the world.
Low Investment Threshold
Only $5,000 USD bank deposit required. One of the most accessible programs worldwide.
Important: Luxembourg Exit Considerations
Luxembourg residents can establish non-residency with proper planning. Paraguay offers a genuine alternative residence.
Our team includes specialists familiar with Luxembourg tax law who can help you navigate the transition properly.
How It Works for Luxembourgers
- 1
Initial Consultation
We assess your situation and create a personalized tax optimization plan.
- 2
Document Preparation
We handle apostilles, translations, and all paperwork from Luxembourg.
- 3
Paraguay Visit
Brief 1-2 week visit for biometrics and bank account opening.
- 4
Residency Approved
Receive your permanent residency card. Start saving immediately.
Frequently Asked Questions
How much can Luxembourgers save with Paraguay residency?
Luxembourgers can save $35,000 to $140,000+ annually. Despite Luxembourg's reputation as a tax haven for corporations, personal income tax reaches 42%, and property prices are among Europe's highest.
Do Luxembourgers need to give up their citizenship?
No. Luxembourgers can hold Paraguay permanent residency alongside their Luxembourg passport. Luxembourg permits dual citizenship and does not restrict foreign residency.
What is the process for Luxembourgers to get Paraguay residency?
Luxembourgers can obtain permanent residency in Paraguay within 4-6 weeks. The process requires an apostilled casier judiciaire, proof of income, a bank deposit of approximately $5,500, and standard personal documents.
Is there an exit tax when leaving Luxembourg?
Luxembourg does not impose a formal exit tax on individuals. However, certain deferred tax benefits and pension arrangements may have implications upon departure. The transition is generally smoother than most EU countries.
How long do Luxembourgers need to stay in Paraguay?
Paraguay has no minimum stay requirement. A visit once every 3 years keeps your permanent residency active, providing complete flexibility to live and work wherever you choose.
Complete Your Paraguay Journey
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Everything you need to make an informed decision about Paraguay residency
Ready to Save $35,000 - $140,000+/Year?
Join other luxembourgers who have legally reduced their tax burden with Paraguay residency.
Last reviewed: February 2026