Crypto tax in Paraguay in 2026

6 min read · Published 6 October 2026 · Updated 7 October 2026

There is no separate crypto tax and foreign income is untaxed, but from 2026 operations above $5,000 a year must be reported to the tax office. Reporting, mining and cashing out explained.

Item	In 2026
Rate for individuals	no separate tax, 8-10% income tax on local income only
Foreign income	not taxed
Reporting	operations above $5,000 a year - from 1 January 2026
Tax number	required for those who report
Companies	corporate tax 10%
Mining	under contracts with the state power company, illegal connection - up to 10 years in prison

Data checked 2026-10-07

Paraguay has no separate crypto tax, and its tax system is territorial: a resident pays 8-10% income tax only on Paraguayan-source income, and foreign income is not taxed. So for most coin holders, gains on a foreign exchange have no tax consequences here.

But since 2026 the rules have become more transparent. The National Tax Directorate introduced mandatory reporting of crypto-asset operations for individuals, companies and platforms whose operations exceed $5,000 a year. It is not a new tax but a reporting regime in force from 1 January 2026.

Who pays crypto tax in Paraguay

A Paraguayan tax resident is someone who spends more than 120 days in the country in a calendar year. It is one of the lowest thresholds in the world, so residence comes quickly.

Residents and non-residents alike pay income tax only on Paraguayan-source income. For coin holders, what matters is not the number of days but where trades take place and where money comes from.

Residence and rates are covered on the Paraguay taxes page.

Moving does not automatically end tax in your previous country: as long as you are its tax resident, crypto income remains subject to its rules.

How to calculate crypto income

The law sets no separate method for taxing crypto. Selling coins on a foreign exchange is foreign income and is usually not subject to Paraguayan income tax.

If income is deemed Paraguayan, the general income tax rates of 8-10% apply. The tax office has not yet defined how the new reporting will be linked to income tax, so trades inside the country are worth documenting especially carefully.

Reporting requires a tax number and data on operations: dates, amounts, platforms. Those without a number are required to register.

Situation	Calculation	Tax
Bought coins for $10,000, sold for $15,000 on a foreign exchange	foreign-source income	$0
Operations of $4,000 in a year	below the reporting threshold	$0, no report needed
Operations of $60,000 in a year on a foreign exchange	no tax, but a report is required	$0
A Paraguayan company made a $20,000 profit inside the country	corporate tax 10%	$2,000

The reporting threshold is set in US dollars. Income tax rates follow the tax reform law; see the Paraguay taxes page.

From 2026 crypto operations above $5,000 a year must be reported to the tax office

Paraguay taxes only local income, but from 2026 the tax office collects data on all large crypto operations. Mistakes happen where the new reporting is missed, people do not register for tax, coins are sold inside the country without documents and money is brought into a local bank without an explanation of its origin. Murblz specialists register the tax number, prepare the operations report, separate foreign and local income and help with tax residence.

The cost of support depends on the number of operations and the structure; a manager will calculate it in the chat.

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Mining and staking

With its cheap hydropower, Paraguay has become a regional mining hub. Legal farms operate under contracts with the state power company: payment in dollars, three months paid in advance, remote monitoring and the possibility of full disconnection if the grid needs it. The contracts run until 2027.

Since 2024 illegal connection to the grid has been punishable by up to 10 years in prison with confiscation of equipment. A mining company's profit is subject to 10% corporate tax. There are no separate staking rules.

Cashing out crypto and moving it to a bank

Crypto is not legal tender in Paraguay, and banks check payments from exchanges and the source of funds. A bank transfer with trade statements and wallet history goes more smoothly than cash deals with private buyers.

From 2026, data from the operations report helps explain to the bank where the money came from: a filed report is the best document for a large transfer.

Crypto account data sharing

Paraguay has not yet announced joining the international standard for exchanging crypto-asset data. But from 2026 the tax office itself collects data on operations through mandatory reporting by individuals, companies and platforms.

For coin holders this means large operations stop being invisible inside the country too.

Licences for crypto companies in Paraguay

Paraguay has no separate licence for crypto exchanges, but platforms serving residents report to the tax office and must follow anti-money laundering rules.

For an international project a licence in another country is often more convenient, for example in Estonia or the British Virgin Islands.

A Paraguayan company for a related business is registered under the ordinary rules; its profit is taxed at 10%.

Murblz sets up crypto companies and licences in these services: company registration in Paraguay, crypto licence in Estonia, BVI company with a virtual asset service provider licence.

This topic in other countries

Crypto tax in other countries:

Taxes, relocation and business in this country:

Where crypto is not taxed at all is covered in countries with no crypto tax.

FAQ

Is there a crypto tax in Paraguay?

There is no separate tax. Income tax of 8-10% is paid only on Paraguayan-source income, and gains on a foreign exchange are usually not taxed.

Do I need to report crypto to the tax office in Paraguay?

Yes, from 1 January 2026 crypto-asset operations above $5,000 a year must be shown in the mandatory report. It is a reporting regime, not a new tax.

Can you mine crypto in Paraguay?

Yes, legally under a contract with the state power company. Illegal connection to the grid is punishable by up to 10 years in prison with confiscation of equipment.

Who is a tax resident of Paraguay?

Someone who spends more than 120 days in the country in a calendar year. But even a resident pays tax only on Paraguayan income.

Can you pay with crypto in Paraguay?

Crypto is not legal tender, and banks check payments from exchanges and the source of funds.

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Programs in Paraguay

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Crypto tax in Paraguay in 2026

Who pays crypto tax in Paraguay

How to calculate crypto income

Mining and staking

Cashing out crypto and moving it to a bank

Crypto account data sharing

Licences for crypto companies in Paraguay

This topic in other countries

FAQ

Don’t want to figure this out alone?

Programs in Paraguay

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