Being a digital nomad in Costa Rica: what the visa allows and when you lose the tax benefits

By Kimberly Esquivel, Labor Manager

Costa Rica offers a Digital Nomad Visa, which allows you to reside legally in the country while working remotely for employers or clients abroad, under a special regime created by Law No. 10,008.

This status grants relevant immigration and tax advantages; however, its application is subject to strict limits that must be met to maintain these benefits.

Being a digital nomad means living in Costa Rica without integrating into the local job market. The central rule is clear:

You can work from Costa Rica, but not for Costa Rica.

The visa allows you to work for foreign companies, offer professional services to international clients, and develop digital ventures whose market is outside the country, keeping the income as foreign source income, not subject to income tax in Costa Rica or the payment of social charges.

Required requirements

• Demonstrate a minimum income of USD $3,000 per month (or USD $4,000 if dependents are included).

• Maintain valid private health insurance for the entire duration of your stay.

• Receive income exclusively from abroad.

However, tax and immigration benefits may be lost if the economic activity is linked to Costa Rican territory. Some examples of situations that generate this risk are:

• Billing customers domiciled in Costa Rica.

• Offer services in the local market.

• To operate through a company incorporated in Costa Rica.

• Coordinate commercial operations from the country.

• Hire local staff or establish a permanent physical presence.

In these cases, the income may be considered Costa Rican-source income, which triggers tax obligations, affiliation with the CCSS (Costa Rican Social Security Fund), and the risk of losing special immigration status.

The Digital Nomad Visa is an attractive tool for international professionals; however, its sustainability depends on clearly respecting the boundary between working from Costa Rica and working for Costa Rica.