Expatriation Costa Rica - tax comparison
🇨🇷

Costa Rica

VS
Expatriation Paraguay - tax comparison
🇵🇾

Paraguay

Costa Rica vs Paraguay

Complete comparison for your tax relocation

Data up to date as of January 15, 2025
Top income tax bracket
25%
🇨🇷 Costa Rica
vs
10%
🇵🇾 Paraguay
Monthly cost (single)
1 000 €
🇨🇷 Costa Rica
vs
600 €
🇵🇾 Paraguay
Safety
7/10
🇨🇷 Costa Rica
vs
5/10
🇵🇾 Paraguay

Taxation

🇨🇷Costa Rica
🇵🇾Paraguay
Top income tax bracket25%10%
Corporate tax30%10%
Capital gains15%8%
VAT13%10%
Tax treaty with FranceNoNo
Special regimeTaxation territorialeTaxation territoriale
Wealth taxNoNo
Territorial taxationYesYes
🇨🇷

Taxation territoriale

Duration: Permanente (systeme territorial par défaut)

Le Costa Rica applique une imposition strictement territoriale. Seuls les revenus de source costaricaine sont imposés. Les revenus de source étrangere (freelance, dividendes, loyers étrangers) ne sont pas taxés. Le taux maximum d'IR est de 25 %, nettement inférieur aux standards européens.

🇵🇾

Taxation territoriale

Duration: Permanente (systeme territorial par défaut)

Le Paraguay applique une imposition strictement territoriale. Seuls les revenus de source paraguayenne sont imposés. Les revenus étrangers, y compris dividendes, intérets et plus-values, sont totalement exonérés.

Cost of living

🇨🇷Costa Rica
🇵🇾Paraguay
Monthly cost (single)1 000 €600 €
Monthly cost (couple)1 600 €950 €
City center rent700 €350 €
Outside city rent450 €200 €
Private health insurance55 €35 €
Public healthcareAccessiblePrivate only

Estimated total monthly budget (single, with city center rent)

🇨🇷 Costa Rica1 700 €/mo
🇵🇾 Paraguay950 €/mo

Paraguay is approximately 750 € cheaper per month in total.

Quality of life

🇨🇷Costa Rica
🇵🇾Paraguay
Average temperature25°C24°C
Safety7/105/10
Health index67/10055/100
Internet40 Mbps30 Mbps
Timezone vs Paris-7h-5h
French-speaking communityVery smallVery small
LanguagesEspagnolEspagnol, Guarani
CurrencyColon (CRC)Guarani (PYG)
Corruption index55/10028/100
Democracy index7.88/106.18/10

Settling in

🇨🇷Costa Rica
🇵🇾Paraguay
Residence permit delay3 months3 months
Company creation23 days35 days
Bank accountModerateEasy
Political stability6.5/105.5/10
Ease of business74th worldwide125th worldwide

Summary

🇨🇷

Costa Rica

  • Top IT: 25% | Corp. tax: 30%
  • Cost of living: 1 000 €/mo
  • Safety: 7/10 | Health: 67/100
  • Regime: Taxation territoriale (Permanente (systeme territorial par défaut))
View full profile Costa Rica
🇵🇾

Paraguay

  • Top IT: 10% | Corp. tax: 10%
  • Cost of living: 600 €/mo
  • Safety: 5/10 | Health: 55/100
  • Regime: Taxation territoriale (Permanente (systeme territorial par défaut))
View full profile Paraguay

Comparative analysis: Costa Rica vs Paraguay

Which country has lower taxes?

In terms of taxation, Paraguay is generally more advantageous. The top marginal income tax rate is 10% compared to 25% in Costa Rica. Corporate tax stands at 10% versus 30%. Capital gains are taxed at 8% in Paraguay versus 15% in Costa Rica.

Which country is cheaper to live in?

The cost of living is lower in Paraguay. A single person spends about 600 EUR/month excluding rent, compared to 1 000 EUR/month in Costa Rica. City center rent averages 350 EUR versus 700 EUR.

Which country is safer?

Costa Rica scores higher on safety (7/10 versus 5/10). In terms of healthcare, Costa Rica leads with an index of 67/100 compared to 55/100 for Paraguay.

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Disclaimer

The tax information presented is based on estimates from public sources (PwC, OECD, government sources). It does not constitute tax or legal advice. Tax rules change regularly and your personal situation may significantly affect the calculation. Consult a qualified professional before making any relocation decision.