🇪🇨 Ecuador vs 🇵🇷 Puerto Rico
Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs
Quick Comparison
| Factor | 🇪🇨 Ecuador | 🇵🇷 Puerto Rico |
|---|---|---|
| Tax System | Territorial (improving) | Act 60 Incentives |
| Income Tax (Foreign) | 0% (foreign pension) | 0% (export services) |
| Capital Gains Tax | 0% (foreign) | 0% (post-move gains) |
| Corporate Tax | 25% | 4% (export services) |
| Residency Requirement | $1,400/mo pension | US citizens only |
| Minimum Stay | None required | 183 days |
| Cost of Living | Very Low ($1,000-1,800/mo) | Moderate ($2,500-4,000/mo) |
🇪🇨 Ecuador
Highlights
- ✅Dollar-based economy
- ✅Very low cost of living
- ✅Great climate options
- ✅Excellent retiree benefits
- ✅Beautiful landscapes
Considerations
- ⚠️Political instability
- ⚠️Limited banking
- ⚠️Infrastructure varies
Best For
- 👤Retirees
- 👤Budget-conscious
- 👤Nature lovers
🇵🇷 Puerto Rico
Highlights
- ✅US territory - no FEIE needed
- ✅Act 60 tax incentives
- ✅Zero capital gains post-move
- ✅4% corporate tax
- ✅Beach lifestyle
Considerations
- ⚠️Only for US citizens
- ⚠️Must meet presence tests
- ⚠️Hurricane risk
Best For
- 👤US citizens
- 👤Crypto investors
- 👤Export service businesses
Which Should You Choose?
Choose Ecuador if: You prioritize dollar-based economy and very low cost of living. Ideal for retirees, budget-conscious, nature lovers.
Choose Puerto Rico if: You prioritize us territory - no feie needed and act 60 tax incentives. Ideal for us citizens, crypto investors, export service businesses.
Not Sure Which is Right for You?
Take our free eligibility assessment to see which tax residency program fits your situation.