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Hacking Lives

Plan B Paraguay

Tax-Free Business Setup

Client Portal

Hacking Lives

Plan B Paraguay

Tax-Free Business Setup

Client Portal

Frequently Asked Questions

Clear answers about our services, Paraguay residency, international tax setup, and how the process works.

Hacking Lives and Plan B Questions

What exactly do you help with?

We design and implement practical international structures built around Paraguay: residency, tax-residency planning, a US LLC when it fits, coordinated banking, and local execution with licensed Paraguayan lawyers. The goal is a setup that is documented, defensible, and useful in real life.

Is Paraguay residency the same as Paraguay tax residency?

No. Immigration residency and tax residency are related, but not identical. We look at how you travel, where your life is centered, your business, banking, and any country that may still treat you as a tax resident.

Why work with licensed lawyers instead of a cheaper fixer?

Because residency, tax, and banking choices need to stand up to scrutiny. Licensed local lawyers bring accountability, proper documentation, confidentiality, and a clear legal route if the case gets complicated.

Can it really be handled in one visit?

Yes. For eligible clients, the in-country part can usually be handled in one carefully planned visit. Before you travel, we prepare the paperwork, arrange translations where needed, coordinate the legal strategy with experienced Paraguayan lawyers, and schedule the required government appointments. That preparation usually allows the essential steps in Paraguay to be completed within a single business day. After you leave, we keep the process moving: we finalize the application, collect the issued documents, and ship them securely to you anywhere in the world. We still recommend allowing at least three business days in Paraguay, simply to keep a comfortable buffer.

Who is this not for?

It is not for people seeking the cheapest residency, illegal shortcuts, tax magic, or a cookie-cutter plan that ignores how they actually live. It is for clients who want a clean setup done properly.

What happens on the free call?

We ask about your citizenship, current residency, business, family situation, and goals. Then we explain the most realistic path, what may not work, and what the next step would cost and require.

Do you work with US citizens?

Yes, in some cases. US citizens can be a fit for Plan B Paraguay Residency, but the standard Tax-Free Setup usually is not, because US tax rules apply to citizens worldwide. We will tell you what is realistic before you commit.

Plan B Paraguay

Paraguay Residency Questions

What can I expect from your service?

We provide comprehensive guidance for obtaining necessary documents and offer legal support in Paraguay - no Spanish required. Our lawyers handle everything locally, and a private driver accompanies you, ensuring a smooth process. Typically completed in 3-4 hours with one visit to Asunción, our service is fast, professional, and includes secure document delivery via DHL.

What documents do I need for temporary residency?

All documents must be apostilled (except passport and visa). We help with all document preparation and verify all documents before arrival in Asunción. We guide you through the process seamlessly.

What are the requirements to maintain temporary residency?

Temporary residents are required to enter Paraguay at least once per year. We recommend treating this as a firm requirement to avoid complications when applying for permanent residency. Migration authorities track entries and exits, and failing to meet the annual visit requirement can prevent you from upgrading to permanent residency later. A short visit is enough, but keeping the requirement current avoids unnecessary risk.

What are the requirements to maintain permanent residency?

A permanent resident must enter the territory at least once every 3 years for at least 1 full day.

Is Paraguay safe?

Yes, Paraguay is a safe Latin American country. In the capital, Asunción, proper neighborhoods feel safer than many cities in Europe or the US.

Is vaccination required?

It depends on your departure location. No vaccination is required when traveling from the US or Europe, but if you come from Brazil, Peru, or Bolivia, a Yellow Fever certificate is needed.

What is the difference between citizenship, residency, and tax residency?

Who will review my documents to ensure everything is correct?

Benefit from the expertise of our Paraguayan legal team, ensuring a secure and legal process from start to finish. We prepare your full case before you arrive, review every document before you board the plane, and handle the paperwork in advance. Your physical presence is mainly needed to appear at the institutions and apply for residency. We have already caught issues that could not have been resolved in Paraguay, saving our clients time and potential complications.

What other benefits does your service provide?

Our service includes the following benefits free of charge to all our clients:

Exclusive Resources:

Access to a comprehensive knowledge base with detailed guides and insights.

Private Community (Signal & Matrix):

Exclusive private channels on Signal and Matrix - platforms chosen to maximize your privacy and security. Stay informed with important updates, connect with our community members, and arrange in-person meetings in Paraguay. We take client privacy very seriously - we never share any client information.

Local Insights and Guidance:

Tailored advice on selecting the best local mobile services, accommodation options (we offer 16 apartments: 15 one-bedroom and 1 two-bedroom), integration into local expat communities, dining recommendations, and exploring Asunción. We maintain a list of Bitcoin-accepting services.

Monthly Bitcoin Meetups:

We organize regular Bitcoin meetups in Asunción and would be delighted to see you there.

Bitcoin Payments:

Enjoy the flexibility of paying with Bitcoin - no questions asked.

What additional Paraguay services do you offer after residency is granted?

After obtaining your Paraguay residency, we also offer the following optional services, which we provide separately because we understand that not everyone will need them for their setup:

DNIT Tax Office Registration:

Processing of your RUC tax number without requiring physical presence.

Driver's License:

Obtaining a driving license for both cars and motorcycles without any testing requirements.

Virtual Office:

Setting up a virtual office rental without requiring physical presence.

Rental Agreement:

Securing a rental contract (permanent address) without requiring physical presence.

International Mobile and Data Plan:

Setting up an international mobile and data plan with a Paraguayan number for North and South America, and Europe, also without physical presence.

Real Estate Market Consultation:

Consultation for those interested in real estate investments in Paraguay and legal support during the purchase process.

What good is your service if there is no crisis in my country?

Plan B is your insurance policy - just like you cannot insure a house that is already on fire, you cannot prepare a backup plan when the crisis has already hit. Most crises come unexpectedly, and then it's too late to act. There are three main reasons for this:

  1. Under time pressure, you probably won't be able to obtain all necessary documents.
  2. You won't be alone in the crisis - government offices will be overwhelmed and our capacity will be limited.
  3. There's no guarantee that the state will continue to willingly issue documents when they see a massive outflow of their taxpayers.

That's why it's better to have your Plan B ready during peaceful times when you have time to plan and arrange everything properly.

Tax-Free Business Setup

Tax Residency, US LLC, and Banking Questions

How much does the Tax-Free Business Setup cost?

The Tax-Free Business Setup is approximately $6,600, which includes Paraguay residency, tax registration and RUC number, virtual office in Paraguay, lease contract in Paraguay, USA LLC formation including state filings, registered agent services, EIN registration, virtual office in the US with lease agreement, compliance guidance where applicable, and banking advisory. The package includes a full one-year subscription covering the required maintenance services, so there are no additional costs for the entire first year. After the first year, ongoing costs depend on your situation: some services are mandatory, such as state fees, registered agent services, and IRS filings, while others may be optional or no longer necessary. We review each case one-on-one and help you decide what makes sense to maintain and what can be discontinued. Converting from temporary to permanent Paraguay residency after two years involves additional costs.

How long does the entire process take?

The complete Tax-Free Business Setup is delivered within approximately 4 months from the moment of application in Paraguay. We need a minimum of two weeks to prepare the Paraguayan documents before your single trip to apply for residency and complete the required in-country procedures. After your residency status is obtained, we proceed with the US-side steps to set up a functional and private operating structure, including the LLC, compliance items, and banking advisory.

Do I need to visit Paraguay multiple times?

Usually people have to visit Paraguay at least twice to finish the residency process, but thanks to our streamlined process we can reduce the initial application to one short visit. While you hold temporary residency, you should enter Paraguay once per year to keep the status in good standing, and in the second year you need to apply for permanent residency. Once you obtain permanent residency, you must visit Paraguay at least once every 3 years (this can be just one day) to maintain your resident status. From a global perspective, Paraguay has some of the most benevolent residency maintenance rules, requiring very minimal effort to maintain your residency and all the benefits that come with it. In practice, many people end up spending much more time in Paraguay than required - numerous digital nomads make Paraguay one of their primary bases due to the low cost of living, excellent food, and growing expat community.

What can I expect from your service?

We provide comprehensive guidance for obtaining all necessary documents and offer complete legal support in Paraguay - no Spanish required. Our lawyers handle everything locally, and a private driver accompanies you throughout the process. Beyond residency, we also handle your tax registration, USA LLC formation, and provide banking advisory services. The entire Paraguay portion is typically completed in 3-4 hours with one visit to Asunción, and we ensure secure delivery of all documents via DHL.

Who is this setup for?

The Tax-Free Business Setup is perfect for digital nomads, online entrepreneurs, freelancers, and anyone earning income online who wants to optimize their tax situation legally. It's ideal for people who value location independence, want to reduce their tax burden through territorial taxation, and prefer operating through a USA LLC structure while maintaining flexibility in where they live and work.

How does Paraguay's territorial taxation work?

Paraguay uses territorial taxation, meaning only income earned within Paraguay is subject to taxation. Foreign income is neither taxed nor reported, making it ideal for digital nomads earning income abroad. You can maintain tax residency without living in Paraguay.

What are the requirements for maintaining tax residency in Paraguay?

To maintain tax residency in Paraguay, you need to fulfill the requirements for your temporary or permanent residency and file monthly tax reports. The report is a simple, repetitive process that usually takes a maximum of 2 minutes per month and can be delegated if needed. There is no minimum stay requirement beyond entering Paraguay once per year as a temporary resident and once every 3 years as a permanent resident. What is more important is that you do not become a tax resident of another country. Paraguay's territorial taxation system means that even as a tax resident, foreign income is not taxed or reported, making it ideal for digital nomads.

What banking options are included?

Due to KYC and AML regulations, we cannot directly open bank accounts for you in reputable jurisdictions. However, we provide comprehensive banking advisory services, including which banks to approach, required documentation, application processes, and guidance on maintaining compliance with international banking requirements. We help you understand the best banking options for your USA LLC structure and for personal banking, including options in the USA, Paraguay, Panama, and other offshore destinations.

Is Paraguay safe?

Yes, Paraguay is a safe Latin American country. In the capital, Asunción, proper neighborhoods feel safer than many cities in Europe or the US. The expat community is thriving and welcoming, making it an excellent choice for international residents.

What is the difference between citizenship, residency, and tax residency?

Can I live in another country while being tax resident of Paraguay?

Yes, but you must ensure that you are not considered a tax resident anywhere else. This typically means you cannot spend more than 183 days in any other country (except Paraguay). In other words, you should not be in one country more than 6 months a year. Some countries have even stricter requirements, so you should be aware of and check the specific tax residency rules of countries you plan to visit - it can often be real estate ownership, etc.

Is a U.S. citizen eligible for this setup?

Yes, but the strategy is different. The United States applies citizen-based taxation, meaning US citizens are taxed on worldwide income regardless of where they live, so Paraguay residency alone is not a zero-tax solution for US passport holders. For US citizens, we can advise on Paraguay residency as a strong Plan B and discuss other compliant options, including Puerto Rico Act 60 and bona fide residency planning where appropriate. US citizens should always work with qualified US tax professionals before implementing any international tax structure.

Are there ongoing requirements or fees?

Your USA LLC requires mandatory state fees and registered agent services, as required by law, along with optional virtual office and lease contract renewals. The Tax-Free Business Setup package includes a full one-year subscription that covers required maintenance costs, with no additional fees for the entire first year. After the first year, we offer a yearly subscription package that can include mandatory costs, optional services such as a virtual office in the US, a virtual office and lease contract in Paraguay, ongoing compliance support, IRS yearly reporting for the LLC, and FinCEN FBAR guidance or filing support where applicable.

Hacking Lives

Hacking Lives

Hacking Lives helps individuals and families build a practical Plan B and tax-efficient international setups with Paraguay residency, US LLC, international banking, and crypto.

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Plan B Paraguay

Tax-Free Business Setup

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The System Won’t Change

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