United Kingdom to Paraguay Tax Savings Calculator
Compare your United Kingdom tax burden (up to 45%) to Paraguay's 0% tax on foreign income.
United Kingdom Tax System
- • Top rate: 45%
- • Type: residence-based taxation
- • Self-employment: 9.0%
- • Capital gains: 20.0%
Paraguay Tax System
- • Foreign income: 0%
- • Type: Territorial taxation
- • Self-employment: 0% (foreign clients)
- • Capital gains: 0% (foreign assets)
- • Crypto: 0%
Enter Your Annual Income
Add amounts for each income type (leave 0 if not applicable)
Moving from United Kingdom to Paraguay
The UK taxes residents on worldwide income with rates from 20-45%, plus National Insurance contributions of 9-12%. Capital gains tax is 10-20% with a small £3,000 allowance. By becoming tax resident in Paraguay and properly exiting UK tax residency, remote workers can reduce their tax burden to 0% on foreign-source income.
Frequently Asked Questions
How do I become a non-UK tax resident?
UK tax residency is determined by the Statutory Residence Test (SRT). Generally, spending fewer than 16-90 days in the UK (depending on ties) makes you non-resident. Properly leaving the UK and establishing Paraguay residency can end UK tax obligations on foreign income.
What about my UK pension living in Paraguay?
UK state pension is paid worldwide. Private pensions may have tax implications. Paraguay does not tax foreign pension income. The UK-Paraguay tax situation for pensions should be reviewed with a cross-border specialist.
Ready to Learn More?
Read our complete guide to Paraguay taxes and residency