Peru

{"ftc_utility":"high","fbar_trigger_notes":"US expats working or residing in Peru will likely maintain local Peruvian bank accounts (Soles or USD-denominated). If aggregate balances across all foreign accounts exceed $10,000 USD at any point during the year, FBAR filing (FinCEN 114) is required. Peru has no account reporting agreements with the US that would automatically satisfy FBAR. FATCA reporting applies to Peruvian financial institutions with US account holders.","ftc_utility_reason":"Peru taxes residents on worldwide income at progressive rates up to 30%. US expats who owe Peruvian income tax on earned or investment income can use the Foreign Tax Credit to offset US tax liability dollar-for-dollar. Given Peru's top rate of 30% exceeds or approaches the US rate in many brackets, the FTC often eliminates residual US tax entirely. The FTC is particularly useful when income levels push into Peru's higher brackets.","presence_day_count_notes":"US citizens can generally enter Peru as tourists for up to 183 days per entry under the bilateral arrangement. There is no strict visa requirement for short stays, so accumulating 330 days in a 12-month period is achievable. Long-term residents should obtain a residency visa (worker, investor, or rentista categories) to remain legally beyond tourist-stay limits. Overstaying tourist authorization could complicate tax status and visa compliance.","typical_qualifying_method":"either","housing_exclusion_available":true,"physical_presence_test_applies":true,"estimated_housing_exclusion_usd":14000,"local_tax_rate_on_earned_income":0.08,"bona_fide_residence_test_applies":true}

{"pension_income":{"notes":"Foreign pension income is treated as fourth-category income for Peruvian residents and taxed at progressive rates starting at 8%. The effective rate depends on total annual income. A 20% deduction is allowed on fourth-category income before applying the progressive scale, which reduces the effective burden. Peruvian private pension (AFP) distributions to locals are subject to specific rules under the AFP system.","tax_rate":0.08,"locally_taxed":true},"social_security":{"notes":"No totalization agreement or income tax treaty exists between the US and Peru. US Social Security benefits received by Peru residents are treated as foreign pension income and are subject to Peruvian income tax at progressive rates. Peru taxes residents on worldwide income.","locally_taxed":true,"treaty_protection":false},"roth_distributions":{"notes":"No US-Peru tax treaty exists, so Roth distributions receive no treaty exemption. Peruvian tax authorities may treat distributions as foreign-source income subject to the progressive income tax scale. The tax-free character of Roth under US law is not recognized by Peru.","locally_taxed":true},"us_401k_ira_distributions":{"notes":"Peru and the US do not have an income tax treaty. US 401k and IRA distributions received by Peru tax residents are treated as pension or foreign-source income and taxed at progressive rates. Pension income from foreign sources is subject to Peruvian tax for residents. The effective rate depends on total income; the progressive scale tops at 30%. An estimated mid-range effective rate applies for typical retiree income levels. No treaty protection exists to reduce or eliminate this tax.","tax_rate":0.15,"locally_taxed":true,"treaty_protection":false}}

{"rate":0.05,"notes":"Capital gains on listed Peruvian securities are taxed at 5% for resident individuals. Gains from unlisted shares and other assets are generally taxed at 30% as ordinary income for residents, or 5% withholding for non-residents on securities.","details":{"tax_type":"Capital Gains Tax","country_name":"Peru","country_iso_code":"PER","source_references":["PwC Worldwide Tax Summaries - Peru","SUNAT (Superintendencia Nacional de Aduanas y de Administracion Tributaria)","Deloitte International Tax Highlights - Peru"],"last_verified_date":"2026-06-03","general_description":"Peru taxes capital gains depending on asset type and residency status. Gains from the disposal of listed securities on the Lima Stock Exchange are taxed at 5% for resident individuals. Gains from unlisted shares and real property are treated as third-category (business) or second-category income and taxed accordingly. Non-resident individuals are subject to 5% withholding on securities gains and 30% on other capital gains.","corporate_capital_gains":{"rate":0.29,"tax_treatment":"Capital gains realized by corporations are included in ordinary taxable income and subject to the corporate income tax rate of 29.5%. No separate capital gains regime applies to companies."},"individual_capital_gains":{"rate":0.05,"tax_treatment":"Resident individuals pay 5% on gains from listed securities and from the transfer of real property where it is not habitual activity. Gains treated as second-category income are taxed at 5% flat. Gains treated as third-category income (habitual or business activity) are taxed at progressive rates up to 30%. Non-residents are generally subject to 5% withholding on listed security gains."}}}

{"notes":"Dividends distributed by Peruvian companies to resident and non-resident individuals are subject to a 5% withholding tax. This rate applies to distributions of profits generated from fiscal year 2017 onward. Distributions of profits generated in fiscal years 2015-2016 are subject to 6.8%, and profits from 2014 or earlier are subject to 4.1%.","rates":[{"rate":0.05,"type":"withholding","notes":"Applicable to profits distributed from FY2017 onward - applies to both residents and non-residents"},{"rate":0.068,"type":"withholding","notes":"Applicable to profits from FY2015-2016"},{"rate":0.041,"type":"withholding","notes":"Applicable to profits accumulated through FY2014"}]}