Costa Rica digital nomad visa: Complete guide for US expats (2026)
The Costa Rica digital nomad visa, officially the Estancia para Trabajadores o Prestadores de Servicio Remoto (Stay for Remote Workers and Service Providers), lets foreign nationals earning at least $3,000/month from sources outside Costa Rica live in the country for up to one year, renewable once for a total of two years.
Costa Rica exempts visa holders from local income tax on foreign earnings. US citizens and green card holders remain fully subject to US federal tax obligations regardless of where they live.
This guide covers the Costa Rica digital nomad visa requirements, how to apply, what Costa Rica does and doesn't tax, and the US filing rules that follow you to San José.
Costa Rica digital nomad visa – key facts (2026)
- Official name: Estancia para Trabajadores o Prestadores de Servicio Remoto
- Income requirement: $3,000/month (solo applicant); $4,000/month (with dependents), per DGME requirements
- Income source: must originate entirely from outside Costa Rica
- Duration: 1 year + 1-year renewal = maximum 2 years
- Application fee: $100 government deposit (Banco de Costa Rica, account 001-0242480-0) + separate $90 immigration-document fee (DGME)
- Medical insurance: minimum $50,000 coverage for the full duration of stay
- Application platform: Trámite Ya (online) or DGME offices (in person)
- Post-arrival: biometric registration within 3 months to obtain the DIMEX residency card
- Costa Rica income tax: exempt on foreign-sourced income
- US tax: fully applies – FEIE, FBAR, and FATCA obligations remain in effect
What is the Costa Rica digital nomad visa?
Costa Rica enacted the Costa Rica digital nomad visa program in 2021 under Law 10008 to attract remote workers and freelancers who earn income exclusively from sources outside the country.
The visa is a legal immigration sub-category, not a tourist extension. It grants the right to reside in Costa Rica, open a national bank account, and import work equipment duty-free.
| Feature | Detail |
|---|---|
| Legal basis | Costa Rica Law 10008 (2021) |
| Official visa category | Estancia (Stay) – immigration sub-category |
| Duration | 1 year, renewable once (max 2 years total) |
| Who qualifies | Foreign nationals earning $3,000+/month from outside CR |
| Costa Rica tax status | Exempt from CR income tax on foreign earnings |
| Work restriction | Cannot provide services to Costa Rican clients or employers |
| Path to residency | Does not lead to permanent residency – separate application required |
The Costa Rica remote work visa differs from two other categories that applicants often confuse it with:
- A Costa Rican work permit (permiso de trabajo) is required for employment with a Costa Rican employer. The digital nomad visa does the opposite – it bars you from working for local clients.
- The Rentista visa requires $2,500/month in guaranteed income but, unlike the digital nomad visa, provides a path to permanent residency after three years.
The legal foundation for the program is set out in Law 10008, which also authorizes the duty-free equipment import and banking provisions.
For the wider relocation picture, see our tax and relocation guide for moving to Costa Rica from the US.
Eligibility requirements
A foreign national qualifies for the Costa Rica digital nomad visa by providing paid remote services to a person or legal entity located outside Costa Rica and demonstrating a minimum monthly income of $3,000, measured at the official sale rate of the Central Bank of Costa Rica.
The visa requires the following five eligibility conditions:
- Remote work type. Services must be provided remotely using digital or telecommunication technologies, and clients or employers must be located outside Costa Rica.
- Income threshold (solo applicant). Solo applicants must show a stable monthly income, fixed income, or an average monthly income over the last 12 months of at least $3,000 from sources outside Costa Rica.
- Income threshold (with dependents). Minimum $4,000/month for the applicant plus any accompanying spouse or dependent children.
- Medical insurance. Minimum $50,000 coverage for the full authorized duration of stay. Medical insurance must cover the applicant for the full stay, and all included family members must also be covered for the full duration of the stay.
- Criminal background. The DGME conducts criminal record and security checks through national and international databases, and biometric review applies on arrival.
Required documents and application fee
To meet the Costa Rica digital nomad visa requirements, every applicant must submit five core documents: an application form, payment proof, passport copy, proof of income, and medical insurance. Depending on your nationality and whether you are including dependents, a visa, translations, and dependent documents may also be required.
- Application form – signed by the applicant or an authorized legal representative; available through Trámite Ya.
- Proof of the $100 government deposit – paid in Costa Rican colones at the reference exchange rate to Banco de Costa Rica account 001-0242480-0. Keep the official receipt. The receiving bank charges roughly $15 in fees, so send enough for the full $100 to arrive. Budget separately for the $90 immigration-document fee listed on DGME's current nomad page.
- Valid passport copy – the photo and biographical page, plus the Costa Rican entry stamp page if you are already in the country.
- Proof of income – provide 12 months of bank statements showing qualifying income ($3,000+/month for solo applicants, $4,000+ for family applications), or a certification from a public accountant or notary public. If the certification is issued abroad, it must be legalized or apostilled.
- Medical insurance policy – minimum $50,000 coverage for the full authorized stay, from an international provider or a Costa Rican insurer regulated by the local superintendent. All included family members must also be covered for the full duration of the stay.
For family members, include the required birth, marriage, or civil-union documents and Spanish translations. If you submit an income certification issued abroad, that certification is the document the official guidance specifically says must be legalized or apostilled.
Applicants must provide the full set of materials listed under the Costa Rica digital nomad visa requirements before submitting.
How to apply: Step-by-step process
The Costa Rica digital nomad visa application is submitted through the DGME's online platform, Trámite Ya, or in person at a DGME central or regional office. Legal representation is not required.
The application process involves the following seven steps:
- Gather documents. Collect all five required documents and arrange official Spanish translations for any foreign-language document.
- Pay the $100 government deposit. Deposit the amount in Costa Rican colones to the Banco de Costa Rica account and keep the payment receipt. Also, budget for the separate $90 immigration-document fee listed on DGME's current nomad page.
- Create a Trámite Ya account. Register on the DGME platform.
- Complete and submit the application. Upload all documents via Trámite Ya, or submit in person at a DGME office with the full document set.
- DGME review period. The DGME has 15 calendar days to issue a written decision. If the application is incomplete, the DGME issues a notice within 5 days, and you have 8 working days to complete or clarify.
- Receive visa approval. The visa is issued as an official immigration document. Carry proof of status at all times while in Costa Rica.
- Register biometrics within 3 months of arrival. Present to the local immigration office in San José to register biometrics and receive the DIMEX residency card.
Visa duration, renewal, and limitations
The Costa Rica digital nomad visa is valid for one year from the date of approval and may be renewed once for an additional year, for a maximum authorized stay of two years under this category.
The key rules:
- Renewal: one renewal is permitted for a total maximum stay of two years. After expiration, you must leave or apply for a different immigration category.
- Minimum stay: there is no day-count requirement to hold the visa in the first year, but to renew it you must show at least 180 days of physical presence in Costa Rica and renew in person.
- Work restriction: holders cannot provide services to Costa Rican clients or employers. All work must remain remote for foreign entities.
- Path to permanent residency: The Costa Rica remote work visa does not lead to permanent residency. Alternatives that do include Residencia Temporal, Rentista ($2,500/month guaranteed income), and Pensionado ($1,000/month in pension income).
- Dependents: a spouse or partner, unmarried children under 25, and children of any age with disabilities may be included at the $4,000/month income level; in some cases, cohabiting older adults may also qualify.
Costa Rica taxes for digital nomads
Costa Rica operates a territorial tax system: only income earned from Costa Rican sources is subject to Costa Rican income tax. Costa Rica digital nomad visa holders who earn all income from clients or employers located outside Costa Rica owe zero Costa Rican income tax.
The key five points for nomads:
- Tax exemption scope. All income sourced from outside Costa Rica is exempt from CR income tax under the territorial system, regardless of how long you stay in the country.
- VAT. Costa Rica charges 13% VAT (IVA) on goods and services consumed locally. You pay VAT as a consumer but are not required to register as a VAT payer unless you sell to Costa Rican clients.
- Import duty waiver. You may import telecommunications and electronic equipment required for remote work duty-free under Law 10008.
- Banking. The visa explicitly permits holders to open national bank accounts after complying with Costa Rica's anti-money-laundering rules under Law 8204.
- No local tax registration is required for nomads earning exclusively from foreign sources.
US tax obligations for Americans on the Costa Rica digital nomad visa
The Costa Rica digital nomad visa exempts holders from Costa Rican income tax, but it does not reduce, defer, or eliminate US federal tax obligations. US citizens and green card holders are taxed by the United States on worldwide income regardless of country of residence.
Moving to Costa Rica does not change the obligation to file a US federal tax return.
This is the single most important thing to understand about the US taxes while living in Costa Rica: a zero-tax host country does not mean a zero US bill. The sections below cover the tools that can lower it, the ones that won't work here, and the reporting forms that apply once you have a local bank account.
For the mechanics of reporting your income, see our guide on where to report foreign income on Form 1040.
Foreign Earned Income Exclusion (FEIE)
US citizens living in Costa Rica on the digital nomad visa may qualify to exclude foreign earned income from US federal tax using the Foreign Earned Income Exclusion under IRC Section 911. The exclusion limit is $130,000 per qualifying taxpayer for tax year 2025 (filed in 2026) and $132,900 for tax year 2026.
How the FEIE in Costa Rica works:
- Two qualifying tests. The Physical Presence Test (330 full days outside the US in any 12-month period) or the Bona Fide Residence Test (established foreign residency for an entire tax year). The digital nomad visa supports bona fide residence eligibility, but the IRS evaluates all facts and circumstances.
- What FEIE excludes. Wages and self-employment income only. Passive income (dividends, interest, rental income, capital gains) is not excluded.
- Self-employment tax is not excluded. The FEIE does not eliminate the 15.3% self-employment tax on net self-employment income. A US freelancer earning $80,000 net in Costa Rica and claiming the full FEIE still owes roughly $11,304 in self-employment tax.
- Form required. Form 2555, filed with Form 1040 by the applicable deadline.
TFX client scenario
A US software contractor relocated to San José in January 2025 on the digital nomad visa and earned $96,000 from a US employer as a W-2 employee. The client qualified under the Physical Presence Test (330+ days outside the US) and excluded the full $96,000 using the 2025 FEIE, reducing federal income tax liability to $0. Self-employment tax did not apply because the client held W-2 employee status.
The full mechanics of the foreign earned income exclusion for US expats and the relevant US expat tax filing deadlines for 2026 are covered in our dedicated guides. The exclusion is claimed on Form 2555.
Foreign Tax Credit: Why it doesn't apply in Costa Rica
Costa Rica imposes no income tax on foreign-sourced earnings. As a result, US digital nomads in Costa Rica cannot use the Foreign Tax Credit (FTC) to offset their US federal tax liability on nomad income.
The reasoning is straightforward:
- The FTC requires a foreign tax actually paid. Costa Rica charges zero tax on foreign-sourced income, so no credit is generated.
- This contrasts with expats in high-tax countries such as Germany, France, or the UK, where the FTC frequently eliminates US federal tax liability entirely.
- For most Costa Rican digital nomads, the FEIE is the main federal tax tool. The FTC usually does not apply unless you actually pay qualifying foreign income tax on the same income. Foreign housing benefits may also apply in some cases.
- If a nomad separately earned Costa Rican-sourced income (for example, from a Costa Rican client), that income could generate CR tax eligible for the FTC. But earning from CR sources violates the visa's terms.
FBAR and FATCA requirements for US nomads in Costa Rica
US citizens living in Costa Rica on the digital nomad visa must file an FBAR (FinCEN Form 114) if the aggregate balance across all foreign financial accounts exceeds $10,000 at any point during the calendar year (31 U.S.C. Section 5314).
| Requirement | Threshold | Form | Deadline |
|---|---|---|---|
| FBAR | $10,000 aggregate (any day of the year) | FinCEN Form 114 | April 15 (auto-extension to Oct 15) |
| FATCA (single / MFS, living abroad) | $200,000 at year-end or $300,000 any day | Form 8938 with Form 1040 | Tax return due date |
| FATCA (MFJ, living abroad) | $400,000 at year-end or $600,000 any day | Form 8938 with Form 1040 | Tax return due date |
Based on a TFX client scenario: A US freelancer opened a Banco Nacional de Costa Rica account in March 2025 and deposited $14,000 over three months. The balance never exceeded $14,000 at one time, but the $14,000 aggregate, combined with a second account held in the UK, crossed the $10,000 FBAR threshold and triggered a FinCEN Form 114 filing obligation the client had not anticipated.
For the details, see our guides to FBAR filing for Americans abroad (FinCEN Form 114) and Form 8938 and FATCA reporting thresholds.
US state taxes: What to do before you leave
Moving to Costa Rica does not automatically terminate US state tax residency. Before you leave, check your former state's current residency rules. In states such as California, New York, Virginia, and South Carolina, keeping domicile or a permanent place of abode can keep you taxable as a resident.
For many Americans, Costa Rica expat taxes are shaped as much by ongoing US state tax residency rules as by Costa Rica's territorial tax system.
The three points that matter most for Costa Rica expat taxes at the state level:
- California. The Franchise Tax Board applies domicile-based residency rules. Keeping ties such as a home, driver's license, or voter registration in California while living in Costa Rica may preserve California tax liability. Check the FTB's current guidance before you leave.
- New York. New York applies a "statutory resident" test. Spending 183+ days in New York while maintaining a New York home triggers New York tax even if your domicile has changed.
- No-income-tax states. A no-income-tax state can reduce state tax exposure, but only if you fully break residency with your former state and establish a real new domicile.
- Required action. Break state residency formally before or immediately on departure. Update your driver's license, voter registration, and primary financial accounts to a new domicile state.
California has no enacted "exit tax" despite proposals that have circulated, but its domicile rules are strict enough to matter. We cover what to watch for in California residency and the proposed exit tax rules.
The IRS sets out the general rules for Americans abroad in Publication 54.
Cost of living in Costa Rica for digital nomads
Costa Rica's cost of living varies significantly by region. San José offers the lowest urban costs, while Pacific coast destinations such as Tamarindo and Santa Teresa run roughly 30–50% higher. The figures below are approximate monthly estimates.
| Expense category | San José (monthly) | Pacific Coast (Tamarindo / Santa Teresa) |
|---|---|---|
| 1BR apartment (furnished) | $600–$1,000 | $900–$1,800 |
| Co-working space | $100–$200 | $150–$300 |
| Groceries | $200–$350 | $250–$400 |
| Medical insurance | $80–$150 | $80–$150 |
| Internet (100 Mbps+) | $40–$70 | $40–$80 |
| Total estimate | ~$1,500–$2,500 | ~$2,000–$3,500 |
The $3,000/month income requirement comfortably exceeds typical living costs in San José, leaving a margin for savings or unexpected expenses. The $4,000 family threshold covers most mid-range Pacific coast locations – the same areas where remote work in Costa Rica is most established and where the largest digital nomad communities in Costa Rica are based.
For setting up finances abroad without tripping reporting rules, see our guide to the best international banks for expats and FBAR compliance.
Is the Costa Rica digital nomad visa worth it for Americans?
For most US remote employees earning $3,000–$8,000/month, the Costa Rica digital nomad visa delivers zero local income tax, but it does not reduce the US federal tax bill.
The FEIE ($130,000 in 2025) is the main federal tax tool, and it does not eliminate the 15.3% self-employment tax for freelancers. Foreign housing benefits may also apply in some cases
| Pros | Cons |
|---|---|
| Zero Costa Rica income tax on foreign earnings | US federal tax obligation remains in full |
| Low cost of living ($1,500–$2,500/month in San José) | FTC usually does not apply; FEIE is the main offset |
| 1 + 1 year (up to 2 years total) | 15.3% self-employment tax still applies to freelancers |
| Right to open a Costa Rican bank account | Aggressive state tax residency rules for CA/NY residents |
| Duty-free import of work equipment | Maximum 2-year stay – no direct path to permanent residency |
| Online application via Trámite Ya, no lawyer required | FBAR is required once a CR bank account crosses $10,000 |
US citizens should complete tax planning – in particular, FEIE eligibility assessment, state tax residency termination, and FBAR-compliant banking setup – before relocating under the Costa Rica digital nomad visa program.
For destination comparisons, see our breakdown of low-tax countries for US expats.
FAQ
Solo applicants must show a stable monthly income, fixed income, or an average monthly income over the last 12 months of at least $3,000 from sources outside Costa Rica. Applicants who include dependents must meet the same standard of $4,000/month.
The Costa Rica digital nomad visa is valid for one year from the date of approval and may be renewed once for one additional year. The maximum authorized stay under this visa category is two years.
Costa Rica does not tax income earned from sources outside the country. A US citizen on the Costa Rica digital nomad visa who earns all income from US or other foreign clients owes zero Costa Rican income tax under the territorial tax system.
Yes. US citizens and green card holders are taxed on worldwide income regardless of country of residence, so the digital nomad visa does not affect US federal tax liability. The Foreign Earned Income Exclusion under IRC Section 911 may reduce the US tax bill, but it does not eliminate the 15.3% self-employment tax for freelancers.
US citizens living in Costa Rica may qualify for the FEIE under IRC Section 911 by passing either the Physical Presence Test (330 full days outside the US in a 12-month period) or the Bona Fide Residence Test (a full tax year as a legal resident of a foreign country). The FEIE exclusion limit is $130,000 per qualifying taxpayer for tax year 2025, rising to $132,900 for 2026.
It can. A US citizen who holds a Costa Rican bank account, where the aggregate balance across all foreign accounts exceeds $10,000 at any point during the calendar year, must file FinCEN Form 114 (the FBAR) by April 15, with an automatic extension to October 15. The Costa Rica digital nomad visa explicitly permits holders to open national bank accounts, so this is a common trigger.
The application centers on five core documents: a signed application form, proof of the $100 government deposit to Banco de Costa Rica, a valid passport copy, 12 months of bank statements showing qualifying income or a certification from a public accountant or notary public (apostilled if issued abroad), and a medical insurance policy with minimum $50,000 coverage. Applicants whose nationality requires a visa and those including dependents will need additional documents.
Yes. A spouse or partner, unmarried children under 25, and children of any age with disabilities may be included, and in some cases, cohabiting older adults may also qualify. Including dependents raises the minimum income requirement from $3,000 to $4,000/month, and all included family members must be covered by medical insurance for the full duration of the stay.
No. The digital nomad visa does not lead to permanent residency. After the maximum two-year stay, applicants must either leave or apply for a separate immigration category. The Rentista visa ($2,500/month in guaranteed income) and the Pensionado visa ($1,000/month in pension income) both provide a path to permanent residency after three years.
No. Costa Rica does not pay people to relocate, and there is no relocation grant attached to the digital nomad visa. What the program offers is a legal one-to-two-year stay and a full exemption from Costa Rican income tax on foreign earnings, not a cash incentive. US citizens should also remember that the exemption applies only to Costa Rican tax; US federal tax obligations continue in full.
