Top income tax
10.0%
Territorial system
Corporate tax
10.0%
IVA
10.0%
standard rate
Tax residency
120 days
3 tax treaties
Paraguay tax profile
Data year: 2025
- Tax system
- Territorial Paraguay taxes only Paraguayan-source income. Foreign-source income is not taxed.
- Top PIT rate
- 10.0%
- Corporate tax rate
- 10.0%
- IVA
- 10.0%
- Capital gains tax
- 8.0% Capital gains on Paraguayan-source assets taxed at 8%.
- Social security (employee)
- 9.0%
- Social security (employer)
- 16.5%
- Dividend withholding
- 15.0%
- Interest withholding
- 15.0%
- Royalty withholding
- 15.0%
- Treaty count
- 3
Income tax brackets
Corporate
| Bracket min | Bracket max | Rate |
|---|---|---|
| PYG 0 | and above | 10.0% |
Personal income
| Bracket min | Bracket max | Rate |
|---|---|---|
| PYG 0 | PYG 50,000,000 | 8.0% |
| PYG 50,000,000 | PYG 150,000,000 | 9.0% |
| PYG 150,000,000 | and above | 10.0% |
Tax flags
Territorial Exemption
Tax residency
- Days threshold
- 120 days
- Residency rules
- Resident if present for 120+ days in a calendar year, or if center of vital interests in Paraguay.
- Exit tax
- No
- CFC rules
- No
Filing information
- Fiscal year
- 01-01 – 12-31
- Filing deadline
- March
Sources
- PwC Paraguay (accessed Mar 23, 2026) PIT 8-10%, CIT 10%, territorial