Middle East
Iran tax rates 2026
This is a residence-based tax system. Personal rates are progressive up to 35%, alongside a 25% corporate rate and a 10% VAT.
Worldwide (residence-based)
Last verified Some figures indicative
The taxes
| Personal income (top) | 35%Progressive up to 35%. Salaries are taxed on a separate scale. |
|---|---|
| Corporate income | 25% |
| Capital gains | No general capital gains tax, though a 5% transfer tax applies to real estate disposals. |
| VAT | 10% |
| Dividends (WHT) | None. Profits are taxed at the company level, and distributions are exempt. |
| Interest (WHT) | Varies |
| Royalties (WHT) | Up to 25%, calculated on a deemed-profit basis for non-residents. |
| Social security (employee) | 7% |
| Social security (employer) | 23% (incl. unemployment insurance) |
| Wealth tax | None |
| Inheritance / estate | Yes, progressive depending on the heir's class. |
| Property tax | A minimal annual property tax, plus a 5% transfer tax on disposals. |
How the system works
- Tax system
- Worldwide (residence-based)
- Foreign income
- Taxed (worldwide)
- 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.