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Malaysia vs Barbados
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇲🇾 Malaysia
vs
🇧🇧 Barbados
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–30%
30% top rate; Pillar Two compliance measures
No change
12.5–28.5%
28.5% top; competitive Caribbean jurisdiction
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
Service tax 8% maintained; GST return unlikely
No change
17.5%
17.5% stable
No change

Corporate Tax Rate

Corporate Tax Rate
24%
24% stable; potential reduction discussed for competitiveness
No change
5.5–9%
Tiered rate; Pillar Two compliance for large groups
No change

Capital Gains Tax

Capital Gains Tax
10–30%
CGT on unlisted shares fully embedded in system
No change
0%
No CGT — sustained advantage
No change

Social Security & Payroll

Social Security / Payroll
~23%
EPF reviewing contribution rates and fund adequacy
No change
~18.1%
NIS contributions; pension reform needed
No change
State, Regional & Local Taxes

🇲🇾 MalaysiaState & Local Authority Taxes

Malaysia's 13 states and 3 federal territories have limited independent taxing powers. States levy quit rent (cukai tanah) on land, assessment rates (cukai pintu/taksiran) on property through local councils, and royalties on natural resources. Petroleum royalties are a major state revenue in Sabah, Sarawak, and Terengganu. Local councils (majlis perbandaran) levy property assessment at 6%–12% of estimated annual rental value. No state income taxes exist — this is federal.

🇧🇧 BarbadosParish Councils & Land Tax

Barbados's 11 parishes have parish councils that levy land tax at 0.1%–0.7% of site value. Barbados has long been a significant international business and financial centre, particularly for Canadian companies. Major tax reform in 2019 aligned Barbados with OECD BEPS standards. A tiered corporate tax rate structure was introduced. Barbados was removed from the EU tax haven blacklist following these reforms and maintains competitiveness as an IFC.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Malaysia vs Barbados: Key Tax Differences (2026)

💰 Income Tax: 🇲🇾 Malaysia has a higher top income tax rate (0–30% vs 12.5–28.5%). 🇧🇧 Barbados is more favourable for high earners.

🛒 VAT/Sales Tax: Barbados has a higher consumption tax (10% vs 17.5%).

🏢 Corporate Tax: 🇧🇧 Barbados offers a lower corporate rate (9% vs 24%), which can influence business location decisions.

📈 Capital Gains: 🇧🇧 Barbados taxes investment gains at a lower rate (0% vs 30%), benefiting investors.

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