El Salvador Launches World’s First Remote Work Tax System for Local Companies

Migraciony Soluciones
May 7
2 min read

A document titled "Deplostoc" sits on a wooden table. The background has warm lighting and blurred plants, creating a cozy atmosphere. — El Salvador Remote Work Tax System

A groundbreaking initiative is on the horizon from El Salvador that is set to reshape how remote work and taxation intersect. For the first time in the world, a country is preparing to implement a system that allows local companies to officially register their remote employees—even if they live and work from abroad—and deduct a fixed tax on their salaries.

This revolutionary system will be led by Migración y Soluciones, the company behind www.evisaelsalvador.com.

💼 El Salvador Remote Work Tax System: How It Works

The upcoming system—E-Remote: El Salvador Remote Work Tax System Registration—is designed specifically for companies registered in El Salvador that employ remote workers residing in other countries.

Under this model:

Companies declare their remote employees to the government.
A 5% tax is deducted from the employee’s salary by the employer.
This amount is invoiced and reported directly to the Salvadoran government.

Remote employees continue working from their own countries while being legally connected to the Salvadoran system through this registration.

🏛️ A Vision by Migración y Soluciones

The system is an original creation of Migración y Soluciones, the organization that manages El Salvador’s e-Visa platform. With a proven record of successfully delivering digital solutions for international applicants, Migración y Soluciones is now setting its sights on a broader digital transformation: integrating remote work into national economic structures.

This project is fully owned and operated by Migración y Soluciones, which will also oversee the implementation, regulation, and support of the system.

📌 Why This Matters

This system is not meant for foreign companies hiring Salvadorans—it is exclusively designed for Salvadoran companies employing remote workers abroad. The purpose is to create:

A transparent taxation system for digital labor,
Government oversight without demanding physical relocation,
A modern legal framework that embraces the global remote work culture.

📅 When Will It Launch?

The project is currently in its pilot phase and will soon open for applications. Companies based in El Salvador will be able to register their remote employees via www.evisaelsalvador.com once the system goes live.