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AF

Afghanistan

Southern Asia AFN

AF · AFG · #40 · 4 cities

Nomad score 27/100 Compare
Top income tax 15.0% Worldwide system
Corporate tax 10.0%
VAT/GST None standard rate
Tax residency 183 days 7 tax treaties

Afghanistan tax profile

Data year: 2026

Tax system
Worldwide Residents (natural and legal persons) are taxed on worldwide income. Non-residents pay on Afghan-source income. Corporate income tax is a flat 10% of annual net taxable profit for legal entities since July 2026, except mining extraction companies (20%) and certain audit-driven assessments tied to pre-reform loss carryforwards. Business receipts tax (BRT) applies on gross receipts (typically 2–10% by sector) in addition to income tax. There is no VAT.
Top PIT rate
15.0%
Corporate tax rate
10.0%
VAT/GST
No VAT/GST
Capital gains tax
0.5% Gains on business assets are taxed as ordinary income at CIT or PIT rates. Transfers of movable or immovable property are subject to a 0.5% fixed tax at transfer (reduced from 1% in July 2026); for individuals this is generally final, while legal entities credit it against annual CIT.
Social security (employee)
--
Social security (employer)
--
Dividend withholding
20.0%
Interest withholding
20.0%
Royalty withholding
20.0%
Treaty count
7
Tax authority: Afghanistan Revenue Department Website

Income tax brackets

Corporate
Corporate brackets
Bracket min Bracket max Rate USD equivalent
AFN 0 and above 10.0% $0 +
Personal income
Personal income brackets
Bracket min Bracket max Rate USD equivalent
AFN 0 AFN 120,000 0.0% $0 – $1,714
AFN 120,001 AFN 1,200,000 10.0% $1,714 – $17,143
AFN 1,200,001 and above 15.0% $17,143 +
Local currency: AFN

Tax residency

Days threshold
183 days
Residency rules
A natural person is resident if they have their principal home in Afghanistan, are present 183+ days in the tax year, or are a government employee assigned abroad. Legal persons are resident if established in Afghanistan or if the centre of administrative management is in Afghanistan.
Exit tax
No
CFC rules
No

Filing information

Fiscal year
03-21 – 03-20
Filing deadline
June 20
Companies file annual income tax returns within three months after the fiscal year end (solar year ending 20 March, so about 20 June). Employers withhold PIT on salaries monthly. Employees with only one employer and correct withholding may settle via an annual salary statement within 45 days after year-end.

Sources

Change history

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

    • Brackets updated

    refreshed rates for July 2026 MoF relief, WHT, brackets, fiscal year, filing deadline and sources (https://momp.gov.af/sites/default/files/2019-03/Income_Tax_Law.pdf, https://pajhwok.com/2026/07/12/finance-ministry-unveils-new-tax-relief-measures-in-4-areas/)

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