The Paraguayan government ordered, through the Decree 5181/2025, a 4.1% adjustment to property tax values for 2026—both urban and rural—in line with cumulative inflation as measured by the BCP’s CPI. These values will serve as the basis for the Real Estate Tax, which is levied at a general rate of 1% and collected by municipalities.
The measure is based on the Law 7425/24 and the National Unified Registry (RUN), which authorize the Executive Branch to approve the tax assessment annually. Urban properties are assessed per square meter, and rural properties per hectare. The decree also incorporates the new Urban Zone 16 (ZU16) in Asunción, with a tax value of G. 257,000 per m², aligning it with category U7 (Saxony).
The Ordinance of “Tax Balance” It reduces the property tax by 52% in the urban area of Asunción, within specific geographic boundaries. The measure aims to encourage investment, repopulate the capital, and promote a more balanced tax system.
Finally, several municipalities, including Asunción, extended the deadline until December 30, 2025 the deadline for paying taxes without penalties or surcharges, covering installment payments and installments that are past due or due in the future, thereby facilitating tax compliance in light of inflation adjustments.
Español 
English 
Português do Brasil