🇮🇷 Iran Tax Guide - Income Tax, Corporate Tax & Special Regimes

Top income tax 30.0% Worldwide system

Corporate tax 25.0%

VAT 10.0% standard rate

Tax residency — 45 tax treaties

Iran tax profile

Data year: 2026

Tax system: Worldwide Iranian residents (Iranian and foreign individuals with a place of residence in Iran, or present more than six months in the tax year) are taxed on worldwide income under the Direct Taxes Act. Non-residents pay tax on Iran-source income and certain Iranian-source royalties, fees and similar payments. Legal persons follow a 25% corporate income tax on taxable profits. Value added tax is levied at a 10% standard combined rate on most goods and services (9% under the permanent VAT Act plus budget-law increments). Employment income is taxed separately from business profits under Articles 84–85, with annual exemption and bracket thresholds reset each year in the budget law.
Top PIT rate: 30.0%
Corporate tax rate: 25.0%
VAT: 10.0%
Capital gains tax: 5.0% Transfers of real property are taxed at 5% of the taxable value at the time of transfer (Article 59). Transfers of goodwill are taxed at 2%. Gains on securities and other assets may fall under other chapters of the Direct Taxes Act rather than the 5% headline capital gains rate.
Social security (employee): 7.0%
Social security (employer): 23.0%
Dividend withholding: Rate not recorded
Interest withholding: Rate not recorded
Royalty withholding: Rate not recorded
Treaty count: 45

Corporate

Corporate brackets
Bracket min	Bracket max	Rate	USD equivalent
IRR 0	and above	25.0%	$0 +

Personal income

Personal income brackets
Bracket min	Bracket max	Rate	USD equivalent
IRR 0	IRR 4,800,000,000	0.0%	$0 – $8,000
IRR 4,800,000,000	IRR 9,600,000,000	10.0%	$8,000 – $16,000
IRR 9,600,000,000	IRR 12,000,000,000	15.0%	$16,000 – $20,000
IRR 12,000,000,000	IRR 14,400,000,000	20.0%	$20,000 – $24,000
IRR 14,400,000,000	IRR 16,800,000,000	25.0%	$24,000 – $28,000
IRR 16,800,000,000	and above	30.0%	$28,000 +

Special regimes
Name	Type	Rate/amount	Duration	Status
Free trade and special economic zone incentives Qualifying manufacturing and export activities in designated free-trade and spec...	Exemption	No rate or amount recorded	20yr	Active

Residency rules: Tax residence is not a simple 183-day count. Iranian nationals residing in Iran are taxed on worldwide income. Article 180 treats an Iranian who proves foreign tax residence as non-resident for that year unless they had employment in Iran, stayed in Iran at least six consecutive or intermittent months in the tax year, or were abroad only on mission, medical treatment or similar grounds. Foreign nationals are generally taxed on Iran-source income; physical presence and housing ties determine residence in practice.
Exit tax: No
CFC rules: No

Direct Taxes Act (INTA English translation) (accessed Oct 9, 2026) Worldwide basis, arts. 59/84–86/105/131/180, CIT 25%, property transfer 5%, salary framework
FY1405 salary tax table (budget law implementation) (accessed Oct 9, 2026) Annual exemption IRR 4.8bn; marginal bands 10–30% on taxable salary for Iranian year 1405
VAT Act art. 7 and budget top-up (accessed Oct 9, 2026) Statutory 9% VAT plus budget increments to 10% combined standard rate
Social Security Law art. 28 (accessed Oct 9, 2026) 7% employee and 20% employer core contributions; 3% unemployment borne by employer
IFJIA — Iran tax and treaty list (accessed Oct 9, 2026) INTA overview and partial list of applicable double-taxation agreements
Tax Foundation — corporate tax rates 2025 (accessed Oct 9, 2026) Cross-check of 25% headline CIT

AL Albania Unique Permit for Digital Mobile Workers	$610/mo
EC Ecuador Digital Nomad Visa (Visa Nómada)	$1,446/mo
ME Montenegro Digital Nomad Residence Permit	$1,460/mo
MU Mauritius Premium Visa	$1,500/mo

GE Georgia Small Business Status (1% Tax)	1%
JE Jersey High Value Resident (HVR)	1%
UZ Uzbekistan IT Park Resident Status	1%
SO Somalia Presumptive Tax Regime (PTR)	1.5%