Costa Rica enacted Law 10008 — its digital nomad visa — in July 2021 and began processing applications in 2022. The program gives a one-year residency, renewable once for a total of two years. The quiet-but-strong draw is Costa Rica's territorial tax system: foreign-source income is not taxed in Costa Rica at all, even when you become a tax resident. Combined with dollar-friendly banking, political stability, and the Central American tropical lifestyle, it's a compelling value proposition for US-income-earning nomads.
The trade-off: Costa Rica has become noticeably more expensive since 2022 (rent in Tamarindo and Santa Teresa has risen sharply), and the Costa Rica application process is paperwork-moderate rather than light. But the $3,000/mo income bar is reasonable, and the tax treatment is genuinely favorable. Weighing it against the other major Latin-American nomad base? Our Costa Rica vs Mexico comparison lays out income floors, tax (Costa Rica's territorial 0% on foreign income versus Mexico's resident rates), and cost of living side by side.
At a glance
- Minimum income: $3,000/month ($4,000/mo for family)
- Duration: 1 year, renewable once for total 2 years
- Processing time: 30–60 days
- Application fee: US$100 per applicant (each dependent pays $100 too)
- Family allowed: Yes — spouse, children, dependent parents
- Path to PR / citizenship: None directly via this visa (separate investor/rentista options exist)
- Tax residency trigger: 183 days in Costa Rica
- Signature benefit: 0% tax on foreign-source income (territorial system)
Why Costa Rica for remote workers?
- Territorial tax system. Foreign income is simply not taxed in Costa Rica. You become resident, live there, and pay $0 on your remote salary.
- Political stability. Oldest continuous democracy in Central America, no military since 1948, strong rule of law.
- Banking accessibility. Dollar-denominated accounts easy, US cards widely accepted.
- Environment and climate. Pacific and Caribbean coasts, rainforest, reliable year-round tropical climate.
- Growing expat/nomad communities in Santa Teresa, Tamarindo, Nosara, Puerto Viejo.