🇵🇦 Panama vs 🇭🇰 Hong Kong
Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs
Quick Comparison
| Factor | 🇵🇦 Panama | 🇭🇰 Hong Kong |
|---|---|---|
| Tax System | Territorial | Territorial |
| Income Tax (Foreign) | 0% (foreign income) | 0-17% |
| Capital Gains Tax | 0-10% | 0% |
| Corporate Tax | 25% | 16.5% |
| Residency Requirement | Friendly Nations Visa ($5,000) | Investment or employment |
| Minimum Stay | None required | 180 days recommended |
| Cost of Living | Moderate ($1,500-2,500/mo) | Very High ($4,000-7,000/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
🇭🇰 Hong Kong
Highlights
- ✅Zero capital gains
- ✅Low income tax
- ✅Global finance hub
- ✅Gateway to China
- ✅Common law system
Considerations
- ⚠️Political uncertainty
- ⚠️Expensive property
- ⚠️Crowded
Best For
- 👤China business
- 👤Finance
- 👤Entrepreneurs
Which Should You Choose?
Choose Panama if: You prioritize dollar-based economy and strong banking sector. Ideal for entrepreneurs, international traders, banking needs.
Choose Hong Kong if: You prioritize zero capital gains and low income tax. Ideal for china business, finance, entrepreneurs.
Not Sure Which is Right for You?
Take our free eligibility assessment to see which tax residency program fits your situation.