The certificate of tax residence in Paraguay is a document that certifies the tax resident status in the country. This certificate allows individuals and companies to certify in their former country that their taxation is currently in Paraguay. Paraguay also offers a territorial taxation that exempts tax residents from taxes on income generated abroad. In addition, the process of obtaining it is accessible and less costly compared to other countries.
What is a Certificate of Tax Residency in Paraguay?
The tax residency certificate is an official international document that certifies the tax residency status of a person or company in Paraguay. This certificate is very important for those who escape from a country with a high tax burden strong as Spain or Argentina.
Recognition as a tax resident allows beneficiaries to access the taxation of Paraguay, which is especially attractive for investors and entrepreneurs operating internationally and domestically.
This document becomes relevant in the context of the double taxation agreements that Paraguay has established with other countries such as Spain. Such agreements make it easier for tax residents to avoid being taxed on the same income in more than one jurisdiction, resulting in an optimization of their tax burden and following clear rules.
Prerequisites for applying for a tax certificate
The application, although there are not many requirements, can be somewhat overwhelming for foreigners facing Paraguay's bureaucracy for the first time. The following are the requirements and the procedure to follow to obtain this document.
- Identity card (Paraguayan).
- Passport from country of origin.
- Be registered in the Paraguayan tax system (RUC).
- Certificate of tax compliance with the SET
- Migratory movement if requested as an individual.
- Completed application form.
In some cases a handwritten note is necessary but not always.
Let's talk a little bit about the requested documentation.
Paraguayan Identity Card
It is the Paraguayan ID card as a foreigner that you get when you make your residence in Paraguay, Remember that you can get it with our help in a few months.
What is the RUC in Paraguay?
The RUC is a personal number that each person or company that is doing an activity on its own has, therefore, you already have obligations in Paraguay.
Once you are registered in the RUC you can obtain an additional certificate that you are up to date with your obligations and that this certificate is one of the requirements for the application of the tax certificate.
Tax Residency Application Form
It is a form which must be filled in with all the requirements described above, must be printed out.
How long does it take?
From the moment you apply and you have the requirements described above, between 7 and 10 days.
Help to obtain the tax residency certificate
Remember that if you need help write me at hola@vivirparaguay.com
Good morning Alejandro,
I have a question, from what moment can I apply for the tax residency certificate? I mean how long do I have to have the RUC active in order to be considered a tax resident. Or simply once I am registered and I have the RUC, I can request the tax residence certificate.
Thank you in advance.
I would like to know the same!
Hola Miguel se puede pedir desde el mismo mes, pero a veces compensa esperar un poco depende de la situación de la persona.
Greetings!