Paraguay: individual tax scope

Published individual residence criterion

DNIT's current INR guidance treats an individual with permanent residence in Paraguay under the migration legislation it cites as fiscally resident. It cites Decree 3181/2019 Article 2. The reviewed guidance does not establish a universal 120-day or 183-day test.

Resident personal-income categories

IRP applies to resident national and foreign individuals and separates personal-service income from capital income and gains, excluding income taxed under IDU. Its baseline is Paraguayan-source income from activities in Paraguay, local assets or rights economically used there, not undifferentiated worldwide income.

Overseas services can be domestic source

IRP treats personal services performed abroad by an IRP taxpayer as Paraguayan source when provided to IRE or IRP taxpayers. State-paid personal-service remuneration is also expressly covered. Performing work abroad therefore does not itself establish exemption.

Nonresident taxation

INR covers nonresidents without permanent domicile in Paraguay receiving covered income. Its source rules include local activities, assets and economically used rights, plus specified services supplied from abroad linked to IRE-taxable income. This is not a general exemption for foreign service providers.

Treaty-residence evidence

For an individual's fiscal-residence certificate, Resolution 65 requires migration-movement evidence for the requested period and identity documents, with RUC and compliance evidence when the person is a taxpayer. Treaty claims involving another contracting state require its tax authority's residence certificate; residence documentation is not nationality.