BKM | Berkemeyer is at the forefront of tax matters in Paraguay and in cross-border transactions. Our team has extensive experience advising foreign and local investors to make the most of the country’s competitive general tax regime, along with tax incentive regimes, in order to have optimal tax planning for the client’s activity from a local and regional perspective.
In addition to advice for the establishment and start-up of foreign investments, BKM | Berkemeyer advises and supports national and foreign clients on the tax impact that their daily operations generate.
The tax litigation and procedure area specializes in defending and representing clients in administrative and judicial processes of claims for taxes owed, as well as in those of refunds and repetition of payments made in excess, obtaining a significant number of favorable resolutions.
| Tax advice
| Tax planning and corporate reorganizations
| Tax procedures
| Refund of tax credits
| Tax-administrative litigation
| Tax-judicial litigation
| Alternative transfer prices
| Estate planning
| Advice to High-Net-Worth individuals
| Tax incentive regimes
Paraguayan general tax regime
| Personal income tax on capital: 8%
| Income tax on personal services: 8% to 10%
| Corporate income tax (IRE): 10%
| Tax on profits and dividends to residents (IDU): 8%
| Tax on profits and dividends to non-residents (IDU): 15%
| Non-resident income tax (INR): 15% (effective rates of 4.5% to 15%) |
| Value Added Tax (VAT): 10% (reduced rate of 5% for certain products and services)
| Selective Consumption Tax (ISC): % variable according to product type
The incidence of municipal taxes is very low.
Tax incentive laws
Free Zone
Maquila
Law 60/80
