Iraq vs Tajikistan
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
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๐ฎ๐ถ Iraq โ Governorate Taxes
Iraq's 18 governorates (muhafazat) have limited independent taxing powers under the federal system. The Kurdish Region of Iraq (KRI โ Erbil, Sulaymaniyah, Dohuk) has its own tax administration and revenue share arrangement with Baghdad. The Federal Board of Supreme Audit and Tax Commission administer national taxes. Oil revenues dominate the Iraqi budget (~90% of government revenue), meaning formal taxation plays a smaller role than in most countries. Reconstruction and diversification remain key challenges.
๐น๐ฏ Tajikistan โ Regional & Local Taxes
Tajikistan's 4 provinces and districts collect local taxes within nationally defined frameworks. Tajikistan is the poorest of the former Soviet Central Asian republics, heavily reliant on remittances from Russia (~30โ40% of GDP). The Rogun hydropower dam project is a transformational infrastructure investment. VAT, income tax, and social tax are the main revenue sources alongside customs duties. The informal economy is very large relative to the formal tax base.
Iraq vs Tajikistan: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฎ๐ถ Iraq has a higher top income tax rate (3โ15% vs 13%). ๐น๐ฏ Tajikistan is more favourable for high earners.
๐ VAT/Sales Tax: Tajikistan has a higher consumption tax (0% vs 15%).
๐ข Corporate Tax: ๐ฎ๐ถ Iraq offers a lower corporate rate (15% vs 18%), which can influence business location decisions.
๐ Capital Gains: ๐น๐ฏ Tajikistan taxes investment gains at a lower rate (13% vs 15%), benefiting investors.