🇵🇦 Panama vs 🇦🇪 Dubai (UAE)
Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs
Quick Comparison
| Factor | 🇵🇦 Panama | 🇦🇪 Dubai (UAE) |
|---|---|---|
| Tax System | Territorial | Zero Tax |
| Income Tax (Foreign) | 0% (foreign income) | 0% |
| Capital Gains Tax | 0-10% | 0% |
| Corporate Tax | 25% | 9% (over $100k profit) |
| Residency Requirement | Friendly Nations Visa ($5,000) | Freelance visa ($2,500+/yr) |
| Minimum Stay | None required | 1 day every 6 months |
| Cost of Living | Moderate ($1,500-2,500/mo) | High ($3,000-5,000/mo) |
🇵🇦 Panama
Highlights
- ✅Dollar-based economy
- ✅Strong banking sector
- ✅No forex controls
- ✅Good infrastructure
- ✅English widely spoken
Considerations
- ⚠️Higher cost of living than Paraguay
- ⚠️More bureaucracy
- ⚠️CRS reporting to some countries
Best For
- 👤Entrepreneurs
- 👤International traders
- 👤Banking needs
🇦🇪 Dubai (UAE)
Highlights
- ✅Zero personal income tax
- ✅World-class infrastructure
- ✅Global business hub
- ✅Easy company setup
- ✅Safe and modern
Considerations
- ⚠️High cost of living
- ⚠️Hot climate
- ⚠️Expensive real estate
- ⚠️New corporate tax introduced
Best For
- 👤High earners
- 👤Luxury lifestyle
- 👤Business owners
Which Should You Choose?
Choose Panama if: You prioritize dollar-based economy and strong banking sector. Ideal for entrepreneurs, international traders, banking needs.
Choose Dubai (UAE) if: You prioritize zero personal income tax and world-class infrastructure. Ideal for high earners, luxury lifestyle, business owners.
Not Sure Which is Right for You?
Take our free eligibility assessment to see which tax residency program fits your situation.