Costa Rica tax
Foreign-source income of residents: Territorial. 2 special regimes for new residents: Remote-worker exemption from income tax on utilities and Fiscal benefits for investors, rentistas and pensionados.
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Special regimes for new residents
Special regime
Remote-worker exemption from income tax on utilities (Ley 10008 art. 16)
Tax relief
Details
- On: Remuneration earned from abroad by approved remote workers
- Who: Holder of the non-resident remote-worker stay subcategory
Approved remote workers are fully exempt from the income tax on utilities, are not treated as habitual tax residents, and their foreign-source income is not Costa Rican-source income; benefits last as long as the migration benefit and are lost on cancellation. 1
Taxed on
Remuneration earned from abroad by approved remote workers.
Who it applies to
- Holder of the non-resident remote-worker stay subcategory; tax benefits apply only to the worker, not to family members.
Exclusions
- Work or services paid in Costa Rica are not allowed and cancel the benefits; imported goods exempted must be taxed if transferred.
Tax residence
Beneficiaries are not considered habitual residents for tax purposes (art. 16).
Visas
Tied to the 1-year (extendable once) remote-worker stay.
Other taxes
Duty exemption on personal equipment imports (art. 17).
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Special regime
Fiscal benefits for investors, rentistas and pensionados (Ley 9996)
Tax relief
Details
- On: Amounts declared as income to qualify
The window to opt in to the Ley 9996 benefits ran for five years from 14 July 2021 and closed on 14 July 2026 under the law as published, so a new applicant today does not get these exemptions. Investors, rentistas and pensionados who opted in before then keep the import and transfer-tax exemptions for ten years from the grant and are not automatically treated as tax residents; sums declared as income to qualify are exempt from income tax. 2
Taxed on
Amounts declared as income to qualify; Costa Rican-source income from local investments remains taxable under Ley 7092.
Who it applies to
- Only investors, rentistas and pensionados who opted in during the first five years from the law's entry into force on 14 July 2021 (art. 12); the benefits last ten years from the date they were granted.
Exclusions
- New applicants after 14 July 2026: the law as published no longer lets them opt in (art. 12).
- Costa Rican-source income from investments remains taxable.
- Renouncing the status or its cancellation requires paying the exempted taxes.
Tax residence
Not automatically a tax resident (art. 6); tax residence requires meeting the income-tax law and regulation tests.
Visas
Applies to the investor, pensionado and rentista temporary residence categories.
Other taxes
Includes 20% exemption of the property-transfer tax and duty-free household goods and up to two vehicles. The consolidated text of the law on the government legislation site could not be opened on 12 October 2026, so a later extension of the five-year window is not ruled out.
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Which visas the regimes apply to
- Remote-worker exemption from income tax on utilities: Remote worker stay. Tied to the 1-year (extendable once) remote-worker stay.
- Fiscal benefits for investors, rentistas and pensionados: Investor residence · $200k, Pensionado residence, Rentista residence. Applies to the investor, pensionado and rentista temporary residence categories.
Standard rules and foreign-source income
Standard rules
Costa Rica: income tax on Costa Rican-source profits (territorial system)
Territorial
Details
Costa Rica taxes profits of persons domiciled in the country that come from lucrative activities with Costa Rican source, meaning income generated exclusively in the national territory; foreign-source passive income is taxed only for taxpayers classed as non-qualified entities. 3
Taxed on
Income, as amended by Law 10381, from services rendered, property located, capital invested and rights used in Costa Rican territory, regardless of the nationality, domicile or residence of the parties.
Who it applies to
- Applies to individuals, companies and entities domiciled in Costa Rica who carry on lucrative activities of Costa Rican source.
Exclusions
- Foreign-source passive income and capital gains: Articles 27 and 31 ter (as amended) tax passive income for taxpayers that are non-qualified entities under Article 2 bis, with a credit for similar foreign tax.
- Remote-work profits of the digital-nomad regime follow Law 10008 (see “Remote-worker exemption from income tax on utilities”).
Visas
The territorial rule is independent of the immigration category.
Other taxes
VAT, social contributions and local taxes are separate. The scope of the foreign-source passive income rule for individuals could not be re-read: the cited issue of La Gaceta (No. 180 of 2 October 2023) did not open on 12 October 2026.
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VAT, social security and other taxes
- Duty exemption on personal equipment imports (art. 17).
- Includes 20% exemption of the property-transfer tax and duty-free household goods and up to two vehicles. The consolidated text of the law on the government legislation site could not be opened on 12 October 2026, so a later extension of the five-year window is not ruled out.
- VAT, social contributions and local taxes are separate. The scope of the foreign-source passive income rule for individuals could not be re-read: the cited issue of La Gaceta (No. 180 of 2 October 2023) did not open on 12 October 2026.
Questions people ask
Is foreign-source income taxed in Costa Rica?
Territorial. Costa Rica taxes profits of persons domiciled in the country that come from lucrative activities with Costa Rican source, meaning income generated exclusively in the national territory; foreign-source passive income is taxed only for taxpayers classed as non-qualified entities.
Who qualifies for Remote-worker exemption from income tax on utilities?
Holder of the non-resident remote-worker stay subcategory; tax benefits apply only to the worker, not to family members. Tied to the 1-year (extendable once) remote-worker stay.
Who qualifies for Fiscal benefits for investors, rentistas and pensionados?
Only investors, rentistas and pensionados who opted in during the first five years from the law's entry into force on 14 July 2021 (art. Applies to the investor, pensionado and rentista temporary residence categories.
Is there a tax break for Investor residence · $200k holders in Costa Rica?
Fiscal benefits for investors, rentistas and pensionados (Ley 9996): The window to opt in to the Ley 9996 benefits ran for five years from 14 July 2021 and closed on 14 July 2026 under the law as published, so a new applicant today does not get these exemptions. It's separate from the visa and has its own conditions.
Is there a tax break for Remote worker stay holders in Costa Rica?
Remote-worker exemption from income tax on utilities (Ley 10008 art. 16): Approved remote workers are fully exempt from the income tax on utilities, are not treated as habitual tax residents, and their foreign-source income is not Costa Rican-source income; benefits last as long as the migration benefit and are lost on cancellation. It's separate from the visa and has its own conditions.
≈ USD figures are approximate: daily reference rates from ExchangeRate-API, dated 12 Oct 2026, refreshed when the site is updated.
Sources (3)
Official sources
- Ley 10008 — Ley para atraer trabajadores y prestadores remotos de servicios de carácter internacional (La Gaceta 168, 1 Sept 2021) · Imprenta Nacional · checked 2026-10-10 · published 2021-09-01
- Ley 9996 — Ley para la atracción de inversionistas, rentistas y pensionados (La Gaceta 135, 14 July 2021) · Imprenta Nacional · checked 2026-10-12 · published 2021-07-14
- La Gaceta No. 180 of 2 October 2023: Law 10381 amending Law 7092 (Income Tax Law), Article 1 and passive-income provisions · Imprenta Nacional de Costa Rica · checked 2026-10-10 · published 2023-10-02