How is crypto taxed in Paraguay?
Paraguay has no special crypto tax, so crypto tax in Paraguay follows general income tax rules on local-source income, plus a new reporting duty from 2026.
Crypto tax in Paraguay works through the country's ordinary income taxes rather than a dedicated crypto regime. As of November 2026, gains are covered by the general rules of the business and personal income taxes, and a new reporting rule from the tax agency, DNIT, makes crypto activity far more visible. Owning crypto is legal, as explained in is crypto legal in Paraguay.
How does Paraguay's territorial tax apply to crypto?
Paraguay taxes individuals, resident or not, on Paraguayan-source income, according to PwC. That includes income from activities carried out in Paraguay and from assets located or used there. Under the personal income tax (IRP), capital gains are taxed at 8%, and income from personal services is taxed at 8% to 10%, with no tax if that income stays under PYG 80 million a year.
The new crypto rule does not change any of this. ABC Color, as republished by Prensa Mercosur in October 2026, said taxes on crypto gains remain under the general IRE and IRP rules, including the source rules, and no rule was set for taxing unrealized gains. Where a crypto gain is "sourced" when coins sit on a foreign exchange is not spelled out, and the Paraguayan Fintech Chamber has questioned DNIT's data demands given the territorial system.
What does the DNIT crypto reporting rule require?
DNIT General Resolution 47 of 2026, published in March, creates an annual information return called the DJI Criptoactivos, filed through the Marangatu system. La Nación reported that it is not a new tax. Residents and companies whose crypto transactions top US$5,000 a year, via foreign platforms or with no intermediary, must file, as must platforms operating in Paraguay. Each transaction needs details such as date, parties or wallet addresses, network, amount, US dollar value, fees and transaction hash. The first return is due in March 2027. Keeping records like these is covered in how to download your crypto transaction history.
How is bitcoin mining taxed in Paraguay?
There is no mining-specific tax. Mining farms are businesses, and PwC describes the business income tax (IRE) as a 10% tax on income from economic activities in Paraguay. La Nación noted that miners are within the scope of the new reporting duty. Electricity contracts with the state utility, covered in the legal guide, are a separate cost, not a tax. For general background, see how is crypto mining taxed.
Do foreigners pay crypto tax in Paraguay?
The same source rule applies to everyone. PwC says individuals are taxed on Paraguayan-source income whether they live in Paraguay or abroad. A foreign resident with crypto income from Paraguayan activity may owe tax, while the treatment of gains from foreign platforms is less clear. Residents, including foreigners who live there, also fall under the DJI reporting rule once they pass the threshold.
Rules differ by country and change often. Check the tax authority or a qualified professional for your own situation.
This guide explains how things work. It is not financial, legal or tax advice. Last updated .