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United Kingdom vs Iraq
Tax Rate Comparison

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

🇬🇧 United Kingdom
vs
🇮🇶 Iraq
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
0–45%
Thresholds remain frozen; fiscal drag continuing
No change
3–15%
15% top; non-oil revenue diversification priority
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
0–20%
Standard 20% maintained
No change
0%
VAT introduction possible; IMF recommendations
No change

Corporate Tax Rate

Corporate Tax Rate
19–25%
25% main rate; possible future reform discussions
No change
15%
15%; diversification investment incentives
No change

Capital Gains Tax

Capital Gains Tax
18–24%
Post-Oct 2024 rates in full effect
No change
15%
15% nominal
No change

Social Security & Payroll

Social Security / Payroll
~28.3%
15% employer NI; lower secondary threshold remains
No change
~25%
SSIF reform; pension adequacy improving
No change
State, Regional & Local Taxes

🇬🇧 United KingdomDevolved, Council & Business Rates

Scotland sets its own income tax bands (six bands; top rate 48%). Wales has limited income tax-varying powers. Northern Ireland follows UK rates. All residents pay Council Tax to local authorities (typically £1,200–£4,000+/year). Business rates are set nationally but collected locally. SDLT applies to property purchases (LBTT in Scotland, LTT in Wales).

🇮🇶 IraqGovernorate Taxes

Iraq's 18 governorates (muhafazat) have limited independent taxing powers under the federal system. The Kurdish Region of Iraq (KRI — 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.

⚠️ 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.

United Kingdom vs Iraq: Key Tax Differences (2026)

💰 Income Tax: 🇬🇧 United Kingdom has a higher top income tax rate (0–45% vs 3–15%). 🇮🇶 Iraq is more favourable for high earners.

🛒 VAT/Sales Tax: United Kingdom has a higher consumption tax (0–20% vs 0%).

🏢 Corporate Tax: 🇮🇶 Iraq offers a lower corporate rate (15% vs 25%), which can influence business location decisions.

📈 Capital Gains: 🇮🇶 Iraq taxes investment gains at a lower rate (15% vs 24%), benefiting investors.

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All 🇬🇧 United Kingdom comparisons →All 🇮🇶 Iraq comparisons →