Part 4: Tax Planning
Chapter 1
Corporate Tax Rates Compared — 83 Countries
دليل 9 min read
How to read this table
All rates are the headline corporate income tax rate applicable to a standard domestic company. Effective rates may differ due to:
- Surcharges (solidarity surcharges, local authority taxes)
- SME or small profits rates
- Special regimes (startup exemptions, investment incentives, free zones)
- Distribution-based systems (Estonia, Georgia — tax only applies on distribution)
Source: Rates verified against country directory data on incorporate.ltd and cross-referenced with official government sources. Verify current rates before making decisions — tax rates change.
Middle East & North Africa (14 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇦🇪 UAE | 0–9% | 0% up to AED 375,000 taxable income; 9% above. Free zone qualifying income: 0% with adequate substance |
| 🇸🇦 Saudi Arabia | 20% (foreign) / 2.5% Zakat | 20% CT for foreign-invested entities; Saudi and GCC national companies pay Zakat at 2.5% of Zakat base instead |
| 🇶🇦 Qatar | 10% (standard) / 0% (QFC qualifying) | QFC-licensed entities conducting qualifying activities: 0% CT |
| 🇧🇭 Bahrain | 0% (non-oil/gas sectors) | Only oil, gas, and petrochemical companies subject to CT; all other sectors: 0% |
| 🇴🇲 Oman | 15% | Standard rate; free zones (Duqm, Salalah) offer tax holidays |
| 🇰🇼 Kuwait | 15% (foreign entities only) | Foreign-owned companies: 15% CT. Kuwaiti and GCC-owned companies: 0% CT but pay Zakat |
| 🇯🇴 Jordan | 20% (standard) | Aqaba SEZ: reduced rates applicable |
| 🇪🇬 Egypt | 22.5% | Standard rate |
| 🇱🇧 Lebanon | 17% | Standard rate; banking system severely disrupted |
| 🇲🇦 Morocco | 20% (≤MAD 100M profits) / 35% (>MAD 100M) | Progressive rates; CFC: 0% for export-oriented companies first 5 years (Casablanca Finance City) |
| 🇹🇳 Tunisia | 15–25% | 15% manufacturing/agriculture; 25% financial services, telecoms; 10% for companies in certain development zones |
| 🇮🇶 Iraq | 15% | Standard rate; foreign oil companies subject to different regime |
| 🇱🇾 Libya | 20% | Standard rate; country has political instability |
| 🇵🇸 Palestine | 15% | West Bank jurisdiction; Palestinian Authority rate |
Europe (20 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇬🇧 UK | 25% (19% small profits ≤£50K) | Marginal relief between £50K–£250K; R&D Expenditure Credit available |
| 🇮🇪 Ireland | 12.5% (trading) / 25% (passive) | 6.25% Knowledge Development Box for qualifying IP income; R&D credit 25% |
| 🇳🇱 Netherlands | 19% (first €200K) / 25.8% (above) | Participation exemption; 9% Innovation Box for qualifying IP income |
| 🇪🇪 Estonia | 0% (retained) / 20% (distributed) | Unique distribution-based system; 14% for regular distributors |
| 🇩🇪 Germany | ~30% effective | 15% Körperschaftsteuer + ~5.5% solidarity surcharge + Gewerbesteuer 7–17% (municipality-dependent) |
| 🇫🇷 France | 25% | 15% reduced rate first €42,500 for qualifying SMEs; R&D credit (CIR) 30% |
| 🇪🇸 Spain | 25% | 15% for new companies in first 2 profitable years |
| 🇵🇹 Portugal | 21% | 17% SME rate on first €50K; reduced rates for interior regions |
| 🇨🇭 Switzerland | 11.9–21.6% (canton-dependent) | Zug (11.9%), Nidwalden (12.0%); no federal participation exemption, but cantonal participation relief |
| 🇨🇾 Cyprus | 12.5% | 2.5% effective IP Box rate; participation exemption on dividends; non-dom regime for individuals |
| 🇲🇹 Malta | 35% headline / ~5% effective | 6/7 shareholder refund mechanism: non-resident shareholders receive 6/7ths of tax paid as refund |
| 🇱🇺 Luxembourg | 24.94% (combined) | 17% CIT + 1.4% municipal business tax + 1.19% solidarity surcharge; 4.99% IP Box |
| 🇮🇹 Italy | ~27.9% | 24% IRES + 3.9% IRAP; IRAP is a regional tax on value of production |
| 🇵🇱 Poland | 9% (small) / 19% (standard) | 9% for taxpayers with revenue ≤€2M equivalent; 5% IP Box |
| 🇷🇴 Romania | 1% micro (≤€500K) / 16% standard | 1% rate for companies with ≤€500K revenue and ≥1 employee; 3% without employee |
| 🇨🇿 Czech Republic | 21% | Standard rate |
| 🇧🇬 Bulgaria | 10% flat | Lowest flat CT rate in the EU; no surcharges |
| 🇸🇪 Sweden | 20.6% | Standard rate |
| 🇩🇰 Denmark | 22% | Standard rate |
| 🇱🇹 Lithuania | 15% (standard) / 5% (small) | 5% for companies with revenue ≤€300K and ≤10 employees |
Asia-Pacific (16 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇸🇬 Singapore | 17% | Startup tax exemption (first 3 years): 75% on first SGD 100K + 50% on next SGD 100K; territorial tax system |
| 🇭🇰 Hong Kong | 8.25% (first HKD 2M) / 16.5% (above) | Two-tier system; offshore claim available for genuine offshore income |
| 🇮🇳 India | 22–30% | 22% for domestic companies not claiming incentives; 15% for new manufacturing companies established after Oct 2019; 30% for foreign companies |
| 🇯🇵 Japan | 23.2% (national) + local | Combined effective rate approximately 30–34%; Tokyo effective rate higher |
| 🇰🇷 South Korea | 9–24% (progressive) | 9% on first KRW 200M; 19% on KRW 200M–20B; 24% above KRW 20B + 10% surtax |
| 🇨🇳 China | 25% (standard) / 15% (HTE) | 15% for High-Tech Enterprises (certified); 15% for qualified entities in Hainan Free Trade Port; 10% WHT on dividends to non-residents |
| 🇹🇭 Thailand | 20% | BOI-promoted companies: 0% for 5–8 years (sector-dependent) |
| 🇲🇾 Malaysia | 17% (first MYR 600K for SMEs) / 24% (standard) | Labuan company: 3% of audited net profit on trading activities |
| 🇮🇩 Indonesia | 22% | 19% for companies listing ≥40% of shares on IDX |
| 🇻🇳 Vietnam | 20% (standard) | 10% for qualifying high-tech/manufacturing for 15 years; tax holidays for qualifying investments |
| 🇵🇭 Philippines | 25% (standard) / 20% (small domestic) | 20% for domestic companies with net taxable income ≤PHP 5M and total assets ≤PHP 100M |
| 🇦🇺 Australia | 25% (base rate entity) / 30% (standard) | 25% for companies with aggregated turnover <AUD 50M; R&D Tax Incentive (43.5% offset for eligible SMEs) |
| 🇳🇿 New Zealand | 28% | Standard rate |
| 🇹🇼 Taiwan | 20% | Standard rate |
| 🇰🇭 Cambodia | 20% | QIP (Qualified Investment Project) approval: income tax holidays available |
| 🇲🇲 Myanmar | 22% | Standard rate; significant political instability |
Americas (12 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇺🇸 USA | 21% (federal) | State corporate income tax additional (0% Wyoming/Nevada; ~8% California/NY); LLC: pass-through by default |
| 🇨🇦 Canada | 15% (federal) + 0–16% provincial | Combined federal + provincial: 23–31% depending on province; 9% federal small business deduction for CCPCs |
| 🇲🇽 Mexico | 30% | Standard rate; PTU (employee profit sharing) 10% of taxable profit additional obligation |
| 🇧🇷 Brazil | 15–34% | IRPJ 15% + 10% surcharge above BRL 240K/year + CSLL 9% = effective 34% for large companies; Simples Nacional for qualifying SMEs |
| 🇨🇴 Colombia | 35% | 20% in Free Trade Zones (Zonas Francas) for qualifying users |
| 🇨🇱 Chile | 27% | Standard rate; reduced rates for SMEs |
| 🇦🇷 Argentina | 25–35% (progressive) | 25% up to ARS 50M; 30% up to ARS 150M; 35% above |
| 🇵🇦 Panama | 25% (domestic income) / 0% (foreign income) | Territorial tax system: income from outside Panama exempt |
| 🇨🇷 Costa Rica | 30% | Free Trade Zones: income tax holiday for qualifying companies |
| 🇵🇪 Peru | 29.5% | Standard rate |
| 🇺🇾 Uruguay | 25% | Free Trade Zones available; foreign-source income exempt under territorial system |
Africa (10 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇿🇦 South Africa | 27% | Reduced from 28% in 2023 |
| 🇳🇬 Nigeria | 30% (large) / 20% (medium) / 0% (small) | 0% for companies with turnover <NGN 25M; medium = NGN 25M–100M; large >NGN 100M |
| 🇰🇪 Kenya | 30% (resident) / 37.5% (non-resident branch) | Lower rates for listed companies and EPZ-licensed entities |
| 🇬🇭 Ghana | 25% | 15% for listed companies; reduced rates for specific sectors (manufacturing, agri, etc.) |
| 🇷🇼 Rwanda | 30% | 0% for registered investors in priority sectors in certain periods |
| 🇲🇺 Mauritius | 15% (standard) / 3% effective (GBC) | GBC (Global Business Corporation): 80% partial exemption on foreign-source income = 3% effective rate |
| 🇹🇿 Tanzania | 30% | Standard rate |
| 🇪🇹 Ethiopia | 30% | Standard rate; industrial park companies: tax holidays |
| 🇸🇳 Senegal | 30% | Standard rate; zones franches industrielles: exemptions available |
| 🇸🇨 Seychelles | 0% (IBC on foreign income) | Domestic companies subject to Business Tax; IBCs earning only foreign income: 0% |
Central Asia & Caucasus (5 countries)
| Country | Standard CT Rate | Key notes |
|---|---|---|
| 🇬🇪 Georgia | 15% (on distribution only) | 0% on retained profits; Virtual Zone: 0% for qualifying IT companies on foreign-source income |
| 🇹🇷 Turkey | 25% | Raised from 20% in 2021; further increases possible |
| 🇰🇿 Kazakhstan | 20% | AIFC (Astana International Financial Centre): 0% CT until 2066 for qualifying entities |
| 🇺🇿 Uzbekistan | 15% | IT Park companies: 0% until 2028 |
| 🇦🇲 Armenia | 18% | Certified IT companies via HTI Foundation: significantly reduced rates |
Offshore & Special Jurisdictions (6 jurisdictions)
| Jurisdiction | CT Rate | Key notes |
|---|---|---|
| 🇻🇬 BVI | 0% | No corporate income tax; government fee based on authorised capital |
| 🇰🇾 Cayman Islands | 0% | No direct taxation; CIMA-regulated funds available |
| 🇧🇲 Bermuda | 0% | Note: Bermuda introduced a 15% CT for large MNEs in 2025 (Pillar Two implementation) — 0% still applies to qualifying smaller entities |
| 🇮🇲 Isle of Man | 0% standard / 10% (banking/property income) / 15% (retail above £500K) | Standard company rate 0%; exceptions for specific sectors |
| 🇯🇪 Jersey & Guernsey | 0% standard / 10% (financial services) / 20% (utility/large retail) | Financial services companies: 10%; standard trading companies: 0% |
| 🇱🇮 Liechtenstein | 12.5% | Flat rate with a minimum tax |
Summary: Lowest effective CT rates globally (legitimate, OECD-compliant)
| Rate | Jurisdictions |
|---|---|
| 0% | UAE (qualifying FZ income with substance), Bahrain (non-oil), BVI, Cayman, Isle of Man (standard), Jersey/Guernsey (standard), Georgia (Virtual Zone IT, foreign income) |
| 3% effective | Mauritius (GBC with 80% partial exemption) |
| 5% effective | Malta (35% headline minus 6/7 shareholder refund) |
| 9% | Bulgaria (flat); Poland (small taxpayers ≤€2M) |
| 10% | UAE (above AED 375K threshold); Qatar (standard); Kuwait (foreign entities); Iraq; Palestine |
| 11.9–12.5% | Switzerland (low cantons — Zug, Nidwalden); Cyprus; Ireland (trading); Liechtenstein |
| 14.5% | Singapore (effective rate after startup exemption in first 3 years for first SGD 100K) |
| 15% | Georgia (distribution-based), Lithuania (small), Oman, Saudi Arabia |
فصول أخرى في الجزء 4
هل تحتاج إرشاداً مخصصاً؟
يمكن لأدواتنا ومستشارينا مساعدتك في تطبيق هذه المفاهيم على وضعك الخاص.
This content is educational and does not constitute legal or tax advice. Always consult a qualified professional for your specific situation. Data last verified March 2026.