Paraguay offers five tax advantages to attract investment, including reduced income tax rates, VAT between 5% and 10%, no wealth tax (except real estate), and special regimes such as the Maquila Law and Free Trade Zones, according to data from the Ministry of Economy and Finance (MEF) and the National Directorate of Tax Revenue (DNIT).
Incentivos Fiscais
Experts point out that Paraguay's fiscal advantages, while still relevant, have lost weight given the need for improvements in infrastructure, legal security, and quality of public services.
Restoration works on historic buildings, such as the Cooperativa de las Fuerzas Armadas and the Palacete Duarte, signal the revitalization of Asunción's microcenter, driven by municipal tax incentives.