Iraq tax rates
The top rates a resident individual pays on each kind of income, computed by the Sovereign tax engine from its Iraq tax profile, with a provisional figure from a published summary where the engine has none yet.
Tier 2 — every figure has an accepted source; some rest on a PwC / Deloitte / KPMG / EY summary (marked †). Sources last checked 7 November 2026. Figures last changed 7 November 2026. Profile last reviewed 27 May 2026.
Scroll across the table to see all tax rates.
| Salary | Capital gains | Dividends | Interest | Rent | Crypto gains | |
|---|---|---|---|---|---|---|
| Iraq | 19.25%† | 0%† | 0%† | 15% | 9%† | 15%* |
* Provisional — not yet verified by the Sovereign engine. crypto gains: from PwC, read 10 November 2026. The engine's own figure replaces a provisional one as soon as the Iraq profile carries an accepted source for it.
† This figure rests on a PwC tax summary, not on the statute itself. The summary is the only source on file for it.
Each figure is the tax on one more unit of a very large amount of that income, with every layer the engine models: surtaxes and uncapped social contributions included. It is the top marginal rate, not the average rate you pay on all your income.
What is the top income tax rate in Iraq?
The top rate on a salary is 19.25%. It is the tax on each extra unit of a very high salary, with surtaxes and uncapped social contributions included. The income tax scale alone reaches 15% above IQD 1,000,000.
How are capital gains taxed in Iraq?
Iraq does not tax a capital gain on shares held as an investment in our model. The rate does not depend on how long you held the asset.
How are dividends and interest taxed in Iraq?
The top rate is 0% on dividends and 15% on interest. Rental income is taxed at up to 9%.
How is crypto taxed in Iraq?
Still unverified: we have not settled how Iraq classifies a private investor's crypto gain or at what rate, so the engine states no crypto figure. A missing figure is not an exemption. Provisionally 15%: the top rate on a crypto gain from a PwC summary read on 10 November 2026. The Sovereign engine has not yet computed this rate, so treat it as a pointer, not a verified figure. no specific rule; PIT top rate 15% above IQD 1,000,000.
Does Iraq tax foreign income?
Generally no. Iraq taxes income from sources in Iraq. Income from abroad is generally outside the tax, with exceptions.
Does Iraq have a wealth tax?
No. Iraq has no recurring national tax on net wealth in our model. Property taxes and taxes on gifts or inheritances are separate.
Does Iraq have an exit tax for individuals?
No. In our model Iraq does not tax an individual's unrealised gains when the individual moves abroad.
When do you become tax resident in Iraq?
The Iraq day test (Residence depends on nationality, months of stay and work or domicile facts): Iraq has different residence tests for Iraqi, Arab and other foreign individuals; no general 183-day rule. Confirm nationality, income year, actual living arrangement, employment, temporary absence, and whether federal or Kurdistan-region law applies. A treaty can change the result. Recorded days alone do not decide residence.
Residence decides whether Iraq taxes you on these rates. See the Iraq day-count test and count your own days.
Sources
The Iraq profile cites 7 sources for these rules, 1 of them from a government or a statute. A provisional figure in the table names its own source under the table.
- Government of Iraq — General Commission for Taxes — iraq — Income Tax Law 113 article 2(3) · official, retrieved 2026-11-07
- PwC — iraq — taxes-on-personal-income · summary, retrieved 2026-11-07
- PwC Iraq — Income determination, statutory shareholder treatment · summary, retrieved 2026-11-07
- PwC — iraq — other-taxes · summary, retrieved 2026-11-07
- PwC — iraq — other-taxes · summary, retrieved 2026-11-07
- PwC — iraq — deductions · summary, retrieved 2026-11-07
- PwC — iraq — other-taxes · summary, retrieved 2026-11-07
The model covers the general rules for a resident individual. It does not cover every deduction, credit, tax treaty or local tax, and rules change after the check date above. Did you find an error? Tell us, with the source.
Compare Iraq with other countries
Top rates do not show what you would pay. Sovereign applies these rules to your own assets, income and debts, and compares the result across 165 countries. Put Iraq side by side with other countries, see every country or try the live demo.
Other countries in Middle East: Iran, Jordan, Kuwait, Lebanon, Oman, Palestine.