🇵🇾 Paraguay vs 🇮🇹 Italy
Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs
Quick Comparison
| Factor | 🇵🇾 Paraguay | 🇮🇹 Italy |
|---|---|---|
| Tax System | Territorial | Flat Tax Regime |
| Income Tax (Foreign) | 0% (foreign income) | €100k flat (foreign income) |
| Capital Gains Tax | 0% (foreign assets) | 0% (foreign) |
| Corporate Tax | 10% | 24% |
| Residency Requirement | $5,000 bank deposit | Elective Residency Visa |
| Minimum Stay | None required | 183 days |
| Cost of Living | Very Low ($800-1,500/mo) | Moderate-High ($2,500-4,000/mo) |
🇵🇾 Paraguay
Highlights
- ✅Zero tax on foreign income
- ✅Easy permanent residency
- ✅No minimum stay requirement
- ✅Low cost of living
- ✅Path to citizenship in 3 years
Considerations
- ⚠️Limited international banking
- ⚠️Spanish language barrier
- ⚠️Developing infrastructure
Best For
- 👤Digital nomads
- 👤Remote workers
- 👤Crypto investors
- 👤Retirees
🇮🇹 Italy
Highlights
- ✅€100k flat tax on foreign income
- ✅World-class culture
- ✅Amazing food
- ✅EU membership
- ✅Beautiful country
Considerations
- ⚠️Bureaucracy
- ⚠️Language barrier
- ⚠️Regime has time limits
Best For
- 👤Wealthy individuals
- 👤Culture lovers
- 👤EU access seekers
Which Should You Choose?
Choose Paraguay if: You prioritize zero tax on foreign income and easy permanent residency. Ideal for digital nomads, remote workers, crypto investors, retirees.
Choose Italy if: You prioritize €100k flat tax on foreign income and world-class culture. Ideal for wealthy individuals, culture lovers, eu access seekers.
Not Sure Which is Right for You?
Take our free eligibility assessment to see which tax residency program fits your situation.