Costa Rica - Settling in Costa Rica
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Costa Rica

AmericasTaxation territorialeTerritorial taxation

Costa Rica is the green paradise of Central America. Thanks to its territorial taxation, foreign-source income is not taxed. The country offers an exceptional setting between Pacific and Caribbean beaches, tropical forests, and volcanoes. The digital nomad visa and rentista/pensionado visas make relocation accessible. Costa Rica is known for political stability (no army since 1948) and environmental commitment. English is widely spoken in tourist zones and expat communities.

Top income bracket
25%
Corporate tax
30%
Capital gains
15%
Cost of living
1 000 €/mois
FR treaty
No
Last verification: January 15, 2025

Taxation

Income tax brackets

BracketRate
0 € 4 094 000 €0 %
4 094 000 € 6 115 000 €10 %
6 115 000 € 10 200 000 €15 %
10 200 000 € 20 442 000 €20 %
20 442 000 € unlimited25 %

Corporate tax

30 %

Capital gains

15 %

VAT

13 %

Special regime : Taxation territoriale

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.

Duration

Permanente (systeme territorial par défaut)

Eligibility

Devenir résident fiscal au Costa Rica. Obtenir un permis de résidence (rentista, pensionado ou inversionista). Aucune condition de présence minimum stricte.

Benefits
  • 0 % d'impot sur tous les revenus de source étrangere
  • Taux maximum de 25 % sur les revenus locaux
  • Abattement généreux sur les premieres tranches
  • Pas d'impot sur la fortune ni sur les successions internationales
Tax treaty with France
Territorial taxation
Wealth tax

Visa options

Visa Rentista

passive-income

Duration: 2 ans renouvelable

Cost: Environ 350 USD (frais de demande et avocat)

Requirements: Revenu passif stable d'au moins 2 500 USD/mois pendant 2 ans (dépot ou preuve de revenus). Assurance santé locale obligatoire (CCSS).

Visa Pensionado

retraite

Duration: 2 ans renouvelable

Cost: Environ 350 USD

Requirements: Pension de retraite d'au moins 1 000 USD/mois. Inscription à la sécurité sociale costaricaine (CCSS).

Visa Inversionista

investisseur

Duration: 2 ans renouvelable

Cost: Environ 350 USD + justificatifs d'investissement

Requirements: Investissement d'au moins 150 000 USD au Costa Rica (immobilier, entreprise ou projet forestier/touristique).

Visa Digital Nomad

digital-nomad

Duration: 1 an renouvelable 1 fois

Cost: Environ 100 USD

Requirements: Revenu mensuel minimum de 3 000 USD (travail à distance pour une entreprise étrangere). Assurance santé. Exonéré d'impot costaricain.

Living in Costa Rica

Popular locations among expatriates

Forêt tropicale
Forêt tropicale
San José
San José
Côte pacifique
Côte pacifique

Cost of living

Comparison with the French average (vertical line)

Currency : Colon (CRC)Exchange rate : 1 CRC = 0.001900

Single person

Monthly budget1 000 €/month
Difference / France+50 €/month

Couple

Monthly budget1 600 €/month
Difference / France+80 €/month

City center rent

1-bedroom apartment700 €/month
Difference / France-150 €/month

Outside city center rent

1-bedroom apartment450 €/month
Difference / France-200 €/month

The cost of living in Costa Rica is moderate for Central America. A single person can live on £850/month excluding rent. The Pacific coast and Central Valley are the most popular areas. Imports are expensive (cars, electronics). Local food (sodas, markets) is affordable.

Settling in Costa Rica

Practical indicators to prepare your relocation

Safety & stability

Safety7/10
Political stability6.5/10
Healthcare system67/100
Corruption index55/100
Democracy index7.88/10
Government typeRépublique présidentielle

Procedures

Residence permit3 months
Bank accountModerate
Public healthcareAccessible
Health insurance55 €/months

Start a business

Setup time23 days
Ease of business#74 worldwide
Effective corp. tax30%

Costa Rica offers several accessible visas: Rentista ($2,500/month passive income), Pensionado ($1,000/month pension), and a digital nomad visa. Mandatory enrolment in social security (CCSS) is a particularity to factor in. The country is welcoming to foreigners with a relaxed Pura Vida lifestyle. Spanish is the main language but English is widely spoken in tourist zones. The international expat community is concentrated in the Central Valley and on the Pacific coast.

The Costa Rican health system (CCSS, nicknamed Caja) is universal and of decent quality, ranked among the best in Latin America. Enrolment is mandatory for residents (£80-160/month depending on income). Public waiting times are long. The private sector (CIMA Hospital, Clínica Bíblica) offers good-quality care at reasonable rates. Costa Rica is a recognised medical tourism destination.

Quality of life

Costa Rica offers exceptional biodiversity, beaches on two oceans, and a relaxed lifestyle (Pura Vida). The country is the most stable in Central America with a good-quality universal health system. Internet is decent in cities but uneven in rural areas. The international expat community is well-established and welcoming.

25°C
Avg. temperature
40 Mbps
Internet
UTC-7h
vs Paris
Espagnol
Language(s)

Pros and cons

Advantages

  • Territorial taxation: 0% on foreign-source income
  • Exceptional natural setting between Pacific and Caribbean
  • Exemplary political stability (no army since 1948)
  • Digital nomad visa with no local tax, accessible residence visas

Disadvantages

  • No tax treaty with the UK
  • High 30% CIT for local companies
  • Time difference of -7h with the UK
  • Expensive imports and uneven internet outside cities

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Sources

Verified on January 15, 2025

All data on this page comes from public and institutional sources.

FAQ

What is the tax rate in Costa Rica?

The top marginal income tax rate in Costa Rica is 25%. The corporate tax rate is 30%. A special regime exists: Taxation territoriale.

What is the cost of living in Costa Rica?

The monthly cost of living for a single person in Costa Rica is approximately 1000 EUR (excluding rent). City center rent costs around 700 EUR per month.

Is there a tax treaty between the United Kingdom and Costa Rica?

Check HMRC for the current status of the tax treaty between the United Kingdom and Costa Rica.

These results are estimates.

The data presented are estimates and do not constitute tax advice. Consult a professional for your personal situation.