← Back to guides

◆ Residency

Paraguayan ID and residency by investment

Paraguay has become one of the most attractive destinations in South America for investors and expats. With Law No. 6984/2022 the immigration rules changed: the old bank-deposit system was replaced by much more structured paths. Today there are two main routes.

2026 guide · A clear path to residency and investment in Paraguay

1 · Standard route

For most foreigners

Two years of temporary residency, then permanent residency.

  1. Temporary residency. Mandatory for two years. You receive an ID card that expires together with this permit.
  2. Ties to the country. During those two years you must show ties to Paraguay: living, working or investing in the country.
  3. Permanent residency. When the temporary period ends, you apply for the change of category.
  4. Definitive ID. Issuance of the Paraguayan ID card, valid for ten years.

2 · Direct residency by investment

The direct path

Permanent residency without waiting two years.

  • Investor Pass (launched in 2026). Designed for wealth investment.
  • Real estate route. Minimum investment of USD 200,000 in property (apartments, duplexes). The favorite option for securing capital.
  • Stock market / tourism route. Options in the stock exchange or in tourism projects.
How it connects with the market. At current prices per zone, USD 200,000 buys one or two units depending on the zone and unit type. In the market report you can see the rental yield of each option. See prices by zone

SUACE program · productive route

For the active entrepreneur

Designed for those who want to set up business operations in the country.

  • Investment: USD 70,000 committed gradually.
  • Requirements: setting up a company (EAS, SA, SRL), a business plan and five direct formal jobs.

What Paraguayan residency gives you

Freedom of movement

Travel across Mercosur with just your ID card, no passport needed.

Tax advantages

Territorial taxation. Dividend tax reduced from 15 % to 8 % through the Investor Pass.

Path to citizenship

Option to apply for naturalization and a passport after three effective years.

Why so many foreigners choose to be tax residents in Paraguay

Paraguay has a territorial tax system: tax residents pay tax only on what they earn in Paraguay, not on what they earn abroad. For people coming from high-tax countries, such as much of the European Union, the difference is significant. That is why more and more digital nomads and remote professionals are setting up their base in Asunción.

Foreign-source income

0 %

Dividends, interest, pensions and gains generated outside the country are not taxed

Personal income (IRP)

8 – 10 %

On Paraguayan-source income

Local dividends

8 %

For residents · 15 % for non-residents

Wealth and inheritance

No tax

General VAT of 10 %

How to obtain the tax residency certificate

The ID card does not automatically make you a tax resident: you need to register with the RUC (tax ID), have verifiable tax activity in the country and obtain the tax compliance certificate; with that, the DNIT issues the Tax Residency Certificate, which is the document you present to your home country.

What to review with an accountant. Your home country applies its own rules before it stops considering you a resident (center of vital interests, days of presence, exit taxes). And services you provide physically from Paraguay count as Paraguayan income even if the client is abroad. Owning an apartment in Asunción helps show that your life is here.

Reference information as of 2026 (Law 6984/2022 on immigration; Law 6380/2019, territorial tax regime), subject to regulatory changes. It does not constitute legal, immigration or tax advice; each case must be reviewed by a licensed professional.

Want to combine investment and residency?

We show you units that qualify and connect you with the professionals who handle the process.

Message us on WhatsApp

◆ Keep reading