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6. Taxes: Paraguay
Taxes in Paraguay: the 10 percent corporate income tax (IRE), the 15 percent dividend tax on profits paid abroad (IDU), non resident withholding on interest, royalties and fees (INR), personal income tax (IRP), IVA at 10 and 5 percent, the small business regimes, the treaty network and the DNIT's prescription and penalty rules, each tied to the official text. Paraguay has no income tax treaty with Argentina; for the Argentine side of cross border tax questions see The Argentine Thread guide.
Investor view. Single digit to low double digit rates on income, consumption and dividends, set out in one modern law, make Paraguay one of the most competitive tax systems in the hemisphere for investors who want to build and reinvest.
- Taxes in Paraguay: the 10 percent system, from corporate income tax and dividends to IVA, non resident withholding and penaltiesParaguay runs one of the lightest and simplest tax systems in the Americas, rebuilt by Ley 6380 of 2019: 10 percent corporate income tax (IRE), 10 percent standard IVA with a 5 percent rate for staple
Related: Paraguay country profile · live dashboard · central bank and release calendar · our posts on X · where Argentina is involved, see The Argentine Thread guide
