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IQ

Iraq

Western Asia IQD

IQ · IRQ · #58 · 8 cities

Nomad score 43/100 Compare
Top income tax 15.0% Territorial system
Corporate tax 15.0%
VAT/GST None standard rate
Tax residency — 15 tax treaties

Iraq tax profile

Data year: 2026

Tax system
Territorial Iraq taxes income from Iraqi sources regardless of the recipient’s residence. Residents are also taxed on certain foreign-source investment income (interest, commissions, trading profits on currencies, metals and securities) when it arises from funds or deposits held in Iraq. Foreign tax on other overseas income may be credited against Iraqi tax within limits. There is no general VAT; selective sales taxes apply to specified goods and services.
Top PIT rate
15.0%
Corporate tax rate
15.0%
VAT/GST
No VAT/GST
Capital gains tax
Rate not recorded
Social security (employee)
5.0%
Social security (employer)
12.0%
Dividend withholding
0.0%
Interest withholding
15.0%
Royalty withholding
15.0%
Inheritance tax
6.0%
Treaty count
15
Tax authority: General Commission for Taxes Website

Income tax brackets

Corporate
Corporate brackets
Bracket min Bracket max Rate USD equivalent
IQD 0 and above 15.0% $0 +
Personal income
Personal income brackets
Bracket min Bracket max Rate USD equivalent
IQD 0 IQD 250,000 3.0% $0 – $190
IQD 250,000 IQD 500,000 5.0% $190 – $380
IQD 500,000 IQD 1,000,000 10.0% $380 – $760
IQD 1,000,000 and above 15.0% $760 +
Local currency: IQD

Tax flags

Territorial Exemption

Tax residency

Residency rules
An individual is resident if present in Iraq for four continuous months or for six months in aggregate during the calendar tax year (not a simple 183-day test).
Exit tax
No
CFC rules
No

Filing information

Fiscal year
01-01 – 12-31
Filing deadline
March 31
Employers withhold PIT from salaries under a PAYE system and remit within 15 days after the month of payment. Annual PIT returns are due by 31 March following the tax year; corporate returns are due by 31 May.

Sources

Change history

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

    • Income tax brackets updated

    Full refresh — brackets, authority URL, residency, WHT, social security, inheritance, filing, sources; corrected residency threshold; data year 2026; verified on 2026-10-09 (https://taxsummaries.pwc.com/iraq/individual/residence).

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