South America Can Offer a Low Cost of Living and Greater Personal Freedom
If you’re seeking the best places to go in South America for those seeking lower taxes and less state intrusion, you have plenty to choose from. If you’re leaving the US, UK or EU, almost everywhere will have less state intrusion on your life. Living as an expat, in general, anywhere in the world you’ll be left alone. Governments find it easier to extract money from their own citizens. They’re less likely to target foreigners who may just be passing through.
Some of the best places to go in South America have tax on worldwide income. Brazil and Chile, for example are great places but they’ll try to tax your worldwide income. Of course this is easy to avoid with a carefully planned offshore structure. However in this article we’re going to focus on the best places to go in South America where you won’t be taxed on your worldwide income.
Uruguay was one of the last countries in the world to introduce income tax. They only introduced income tax in 2007. Uruguay is largely a territorial tax country. Some exceptions exit. But for most people they can live in Uruguay tax free provided their income is generated outside the country. Uruguay has incentives to attract families to live in Uruguay. This includes faster citizenship for families who move there. This makes Uruguay one of the best places to go in South America.
Argentina is never considered an economic haven. It’s been a highly socialist country for decades. Successive governments have mismanaged the economy. Inflation in the local currency is out of control. However, Argentina is undoubtedly one of the best places to go in South America. I recently heard Buenos Aires described as ‘the last European city’. The capital city feels more European nowadays than many cities situated in Europe. It’s certainly a great place to live. If you’re spending dollars or Euros it’s inexpensive too.
Argentina taxes residents on their worldwide income. But the devil is in the details. You don’t become a tax resident until the 13th month you’re living there. Employees on temporary assignment in Argentina can avoid Argentinian tax for 5 years.
Argentina does have a wealth tax, so it’s important to make sure no foreign assets are caught by this. Straightforward tax planning will easily avoid this.
Ecuador is a small country in South America. It offers many attractions for foreigners who want to live there. Whether you prefer the beach, the mountains, or the jungle, you can find a place that suits your lifestyle and budget in Ecuador.
Ecuador has a mild and pleasant climate all year round, thanks to its location on the equator. You can enjoy warm and sunny days on the coast, cool and breezy nights in the highlands, or humid and green scenery in the Amazon region.
Ecuador is considered one of the best places to go in South America due to its low cost of living, cheap real estate and territorial taxes. You’ll only pay income tax on income generated in Ecuador. Earnings from overseas are tax free to Ecuador residents.
Paraguay is a small land-locked country in South America. It’s long been known for having high levels of personal freedom. It’s becoming increasingly popular with Europeans and Americans seeking a better lifestyle.
Paraguay is one of the best places to go in South America as it offers easy residency and fast citizenship. It’s also a territorial tax country. You won’t pay any taxes on funds earned outside Paraguay. You can also bank in private in Paraguay as it’s not a participant in the Common Reporting Standard (CRS).
Bolivia is a landlocked country in South America that offers a variety of attractions for foreigners who want to live there. Bolivia has a rich and diverse culture. It has 36 official languages and a mix of indigenous, European, African and Asian influences. Bolivia also has a stunning natural beauty. It has landscapes ranging from the Andes mountains to the Amazon rainforest. Bolivia is one of the most biodiverse countries in the world, with thousands of species of plants and animals.
It’s a haven for nature lovers who want to be left in peace.
Bolivia is a country not often mentioned in lists of expat havens or tax friendly countries. However it’s both. It’s starting to gain some popularity with digital nomads. They’re attracted by the cheap cost of living and the fat that there are no taxes on overseas income.
It’s maybe one for the more adventurous but anyone looking for a major change, far away from western culture may enjoy it.
South America can be a great location for anyone looking for a major change in lifestyle. Being in the Southern Hemisphere means you could spend half the year there and have summer all year round. Anyone worried about nuclear war would be safer in the southern hemisphere. Not to mention the immeasurably higher degree of personal freedom you’ll find in much of South America. If you’re looking for the best places to go in South America the countries listed are worth checking out.