🇵🇦 Panama vs 🇨🇭 Switzerland
Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs
Quick Comparison
| Factor | 🇵🇦 Panama | 🇨🇭 Switzerland |
|---|---|---|
| Tax System | Territorial | Lump-Sum Taxation |
| Income Tax (Foreign) | 0% (foreign income) | 0% (lump-sum option) |
| Capital Gains Tax | 0-10% | 0% (private) |
| Corporate Tax | 25% | 11-24% |
| Residency Requirement | Friendly Nations Visa ($5,000) | Lump-sum agreement |
| Minimum Stay | None required | Permanent residence |
| Cost of Living | Moderate ($1,500-2,500/mo) | Very High ($5,000-8,000/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
🇨🇭 Switzerland
Highlights
- ✅Lump-sum taxation option
- ✅Political stability
- ✅Banking privacy
- ✅High quality of life
- ✅Central Europe access
Considerations
- ⚠️Very expensive
- ⚠️Lump-sum has min thresholds
- ⚠️Strict immigration
Best For
- 👤Ultra-wealthy
- 👤Privacy seekers
- 👤Stability focus
Which Should You Choose?
Choose Panama if: You prioritize dollar-based economy and strong banking sector. Ideal for entrepreneurs, international traders, banking needs.
Choose Switzerland if: You prioritize lump-sum taxation option and political stability. Ideal for ultra-wealthy, privacy seekers, stability focus.
Not Sure Which is Right for You?
Take our free eligibility assessment to see which tax residency program fits your situation.