Reunion — Tax Guide, Residency & Cost of Living for Expats

Africa

Tax Score

30/100Worldwide

Tax Data

Income Tax0% – 45%
Corporate Tax25%
Capital Gains30%
VAT/GST8.5%
Wealth TaxNo
Inheritance TaxNo

Residency & Visas

Golden VisaNo
Digital Nomad VisaNo

Cost of Living & Quality of Life

Cost of Living Index55
Safety6/10
Internet50 Mbps
Healthcare7/10

Tax Overview

Reunion applies a worldwide tax system with high progressive rates. Residents are taxed on their global income, which can represent a significant burden for high earners.

Personal Income Tax

Personal income tax in Reunion ranges from 0% – 45% progressively. The top marginal rate is high by regional standards.

Corporate & Capital Gains

The corporate tax rate is 25%. Capital gains are taxed at 30%.

Indirect Taxes & Wealth

VAT/GST is 8.5%, low by international standards.

Crypto & Digital Assets

Reunion has an unfavorable crypto tax regime (score 2/5). Rates are high and/or regulations are restrictive.

Compare with other countries

Residency Guide

Relocating to Reunion is possible but with limited options. Visa options are more limited, but residency is achievable through standard pathways.

Visa Options

Reunion does not currently offer a digital nomad visa or golden visa. Foreigners can explore work, investment, or family reunification visas.

Practical Considerations

As a non-LATAM destination, applicants should consider potential language barriers and cultural differences. Working with a local immigration attorney and verifying apostille/legalization requirements for documents is recommended.

Also consider: Mauritius, Seychelles, Libya

Lifestyle

Reunion has a moderate cost of living, with good standards at a reasonable price.

Cost of Living

With an index of 55, Reunion offers a balance between quality and price. Expenses are lower than New York City (index 100), but quality of life is high.

Safety & Infrastructure

A safety score of 6/10 indicates a generally safe environment, with normal precautions recommended. Internet speed of 50 Mbps — adequate for remote work.

Healthcare

A healthcare score of 7/10 indicates a decent healthcare system. Private health insurance is recommended to supplement public services.

Pros & Cons

Pros

  • Affordable cost of living (index 55)
  • High-quality healthcare system (7/10)

Cons

  • Worldwide tax system — global income taxed
  • High top income tax rate (45%)
  • High capital gains tax (30%)
  • Unfavorable crypto regime (2/5)

Frequently Asked Questions

Reunion operates under a worldwide tax system: taxes residents on worldwide income, regardless of where it is earned. The top personal income tax rate is 45%.

About this guide

Researched and maintained by the TuLugar team, based in Asunción, Paraguay.

Data sourced from PwC, Numbeo, UNDP, and Ookla.

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