Chile does not impose income tax on foreign pensions or social security of foreigners with residency in Chile. This is in addition to other tax benfits for new residents of Chile, such as the three year foreign income tax exemption or any dual tax treaties that may exist between Chile and other countries.

No income tax on Foreign Pensions and Social Security in Chile!

One of the greatest benefits of retiring in Chile even if you are not really near retirement age is the income tax exemption for foreign pensions and social security.  Chile does not tax foreign pensions or social security for people that retired and live in Chile under the Visa type known as “retirement and periodic income” visa. This benefit is extended to those that apply before retirement age, and will someday receive a pension from a foreign country.  This is in addition to the normal three year  income tax exemption provided to new residents of Chile on foreign income of all types. Please be aware that other countries may still impose income tax on your pension or other income, and you should consult your tax advisor in those jurisdictions.

Please contact us for a free consulatation regarding your retirement plans or immigration needs in Chile.