WorldTax CompareAll Comparisons

Paraguay vs Bhutan
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇵🇾 Paraguay
vs
🇧🇹 Bhutan
Tax Year:

💰 Personal Income Tax Calculator

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
8–10%
10% top; competitive positioning
No change
0–25%
25% top; crypto mining revenues adding to national income
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
10% IVA maintained
No change
0%
No VAT; GST consideration ongoing
No change

Corporate Tax Rate

Corporate Tax Rate
10%
10%; Pillar Two for large MNCs operating in Paraguay
No change
30%
30% CIT; digital economy and hydropower growing
No change

Capital Gains Tax

Capital Gains Tax
8–10%
8%/10% maintained
No change
0%
No CGT
No change

Social Security & Payroll

Social Security / Payroll
~25.5%
IPS reform discussions; adequacy concerns
No change
~10%
NPPF; pension adequacy improving
No change
State, Regional & Local Taxes

🇵🇾 ParaguayMunicipal & Departmental Taxes

Paraguay's 17 departments and 254 municipalities levy the Impuesto Inmobiliario (property tax at 1% of assessed value), commercial licence fees (patente comercial), and vehicle registration fees. Asunción has the highest commercial licence fees. The Subsecretaría de Estado de Tributación (SET) administers national taxes. Paraguay has one of Latin America's lowest tax burdens (~12% of GDP) and has used flat low rates to attract foreign residents (MADES visa) and financial activity. No wealth tax exists.

🇧🇹 BhutanDzongkhag & Thromde Taxes

Bhutan's 20 dzongkhags (districts) and thromdes (municipalities) levy local land tax, cattle tax, and local fees. Bhutan is a constitutional monarchy pursuing Gross National Happiness over GDP. Corporate and business income taxes are primary revenue sources; personal income tax is minimal for most citizens given the country's structure. Bhutan has major hydropower export revenues from India and has become notable for state-enterprise cryptocurrency mining. The country is transitioning toward more market-oriented development with LDC graduation aspirations.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Paraguay vs Bhutan: Key Tax Differences (2026)

💰 Income Tax: 🇧🇹 Bhutan has a higher top income tax rate (8–10% vs 0–25%). 🇵🇾 Paraguay is more favourable for high earners.

🛒 VAT/Sales Tax: Paraguay has a higher consumption tax (10% vs 0%).

🏢 Corporate Tax: 🇵🇾 Paraguay offers a lower corporate rate (10% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇧🇹 Bhutan taxes investment gains at a lower rate (0% vs 10%), benefiting investors.

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