Paraguay (PY)
Affordable South American residency hub with low taxes, warm climate, Mercosur access, growing expat communities, and a practical base in Asuncion, Encarnacion and Ciudad del Este.
Leaving Paraguay
How to properly exit — protecting your finances, rights and records.
📅 General Timeline
90 days before: check residence/tax status and lease notice. 60 days: close business/RUC or appoint accountant. 30 days: cancel utilities, insurance and school contracts. Final week: bank, meter readings, handover, notarised authorisations if someone will act for you after departure.
Deregistration
Paraguay has no single universal municipal deregistration for departing residents. Notify DNM (Dirección Nacional de Migraciones, migraciones.gov.py) if your residence status will change — if you are surrendering your permanent residence (cédula de identidad extranjero), notify DNM in writing. Close or update your cedula/residence records before documents expire if you plan to return. Notify DNIT (Dirección Nacional de Ingresos Tributarios, set.gov.py) of your departure and close your RUC (Registro Único del Contribuyente) or suspend it if you will have no further Paraguayan income. Obtain your IPS (Instituto de Previsión Social) contribution statement before leaving. Notify employer formally and obtain your liquidación laboral (employment termination settlement), which under the Código Laboral includes any accrued aguinaldo (13th month), severance pay, and unused vacation.
Tax clearance
File final DNIT returns for RUC, VAT, IRP or company obligations before leaving. Formally suspend or close your RUC if you will stop invoicing; otherwise monthly obligations and penalties can continue.
Pension portability
IPS pension rights depend on contribution history and applicable bilateral/Mercosur agreements. Request your IPS contribution record before leaving and keep employer certificates.
Health insurance
Cancel private health insurance in writing and confirm the final covered date. If employed, IPS coverage depends on payroll contributions and may end when formal employment ends.
Bank account
You may be able to keep bank accounts as a non-resident, but banks can request updated KYC, tax residency forms and local contact details. Notify the bank before your Paraguayan phone number stops working.
Utilities
Settle ANDE, ESSAP/water, internet, mobile and condominium fees. Take meter photos and obtain zero-balance receipts before handing back keys.
Rental contract
Give written notice according to your lease. Do a signed handover with photos, keys, utility readings and deposit agreement. Many disputes are practical rather than court-driven, so evidence matters.
Leaving the Country
Unlock the complete Leaving the Country guide for Paraguay — including every detail, document, tip and link you need.
Become a SupporterSupport the guide on Ko-fi · Unlocks every premium section, everywhere