BlockBeats News, June 13th, El Salvador is continuously optimizing its immigration system to attract high-net-worth individuals and capital (including families). According to Decree No. 531, which came into effect on March 31, 2026, the residency requirement for temporary residents has been reduced from having to stay in the country for 9 months per year to only needing to reside for a cumulative or consecutive 90 days per year. This adjustment is mainly aimed at entrepreneurs, investors, and remote workers who need to frequently move across borders.

El Salvador offers one of the most attractive tax systems in Latin America for individuals with income from overseas sources. The country operates on a territorial tax system, meaning that only income generated within El Salvador is taxable. An important income tax reform in 2024 further clarified that both residents and non-residents can be exempt from income tax on their overseas income. This means that freelancers, remote workers (such as content creators, developers, and entrepreneurs with overseas income) can enjoy a 0% El Salvador income tax rate on their foreign income, with no amount limit.

Furthermore, according to the country's laws, capital gains related to Bitcoin are not taxed, and the country also does not impose wealth tax, inheritance tax, or gift tax. The real challenge lies in whether an individual's home country recognizes this arrangement; because most countries are usually reluctant to give up their taxing rights over their tax residents and often rigorously review and pursue tax residency issues.