North & Central America
Guatemala tax rates 2026
Guatemala runs a territorial system, so only Guatemalan-source income is taxed. Personal rates are low and flat, and IVA stands at 12%.
Territorial
Last verified
The taxes
| Personal income (top) | 7%Employment income is taxed at 5% up to GTQ 300k and 7% above that, after exemptions. The system is territorial, so foreign-source income is exempt. |
|---|---|
| Corporate income | 25% |
| Capital gains | 10% |
| VAT / IVA | 12% |
| Dividends (WHT) | 5% |
| Interest (WHT) | 10% |
| Royalties (WHT) | 15% |
| Social security (employee) | 4.83%, paid into IGSS. |
| Social security (employer) | Roughly 12.67%, paid into IGSS. |
| Wealth tax | None |
| Inheritance / estate | Inheritance and gift tax, progressive from roughly 1% to 6% depending on the relationship between giver and recipient. |
| Property tax | IUSI, the property tax, runs roughly 0.2–0.9% of cadastral value. |
How the system works
- Tax system
- Territorial
- Foreign income
- Largely outside scope (territorial)
- Taxes by citizenship
- No
- Exit tax
- No
- CFC rules
- No
- CRS
- Not participating
Rates checked July 2026: the top marginal income tax rate, the standard VAT rate and the main corporate rate.