PANAMA vs PARAGUAY | What is the Best Tax Residency for 2025?

In this video we discuss the differences between Panama and Paraguay when it comes to tax residency. After analyzing the requirements to obtain residency in both countries, we go in-depth into what it takes to become a tax resident and the requirements to keep being a tax resident.

Even if Panama has a better banking system, the ease of getting residency in Paraguay and be considered a tax resident here cannot be underestimated. Both countries have a territorial tax system, with only minor differences in the sources of income that are subject to taxation and in the way that local-sourced and foreign-sourced income are defined.

Chapters of this video:

00:00 Introduction
01:11 How to Obtain Residency
03:31 Requirements for Tax Residency
07:39 Banking and Local Opportunities
10:08 Final Thoughts and Conclusions

[PartyofSixPY]

I have looked at moving from Canada another country. Soo many countries. I thought Portugal was going to be it. I looked at 10 other countries and in the end, Paraguay won out. We sold our home in Canada and we are moving to Paraguay in Feb.

[TimVhon]

Paraguay is so underrated. Panama wins for the Landscape and Banking. Paraguay wins for everything else.

[DirtyBird]

Great information. I like to understand about more counties that require similar minimal stay requirements like South Africa etc.

[FinalCurse]

I would rather live in panama because beach!

[lilaluke]

I think for italians the $5k deposit option to get permanent residency in Panama is still possible.