El Salvador

Individual - Taxes on personal income

Last reviewed - 07 July 2020

El Salvador taxes its citizens, residents, and non-residents on their income earned in the country and on other Salvadoran-source income.

Personal income tax rates

Domiciled individuals shall compute their income taxes by applying to their net income the rate according to the following table:

Net income (USD) Tax rates
Over Not over
0.00 4,064.00 Exempt
4,064.00 9,142.86 USD 212.12 plus 10% on the excess over USD 4,064.00
9,142.86 22,857.14 USD 720.00 plus 20% on the excess over USD 9,142.86
22,857.14 and over  USD 3,462.86 plus 30% on the excess over USD 22,857.14

Non-domiciled individuals shall compute their income taxes at 30%.

Employers are required to withhold income taxes from any compensation paid to their employees on the basis of the following withholding rates:

Income (USD) Withholding rates
Over Not over
0.00 472.00 N/A
472.00 895.24 USD 17.67 plus 10% on the excess over USD 472.00
895.24 2,038.10 USD 60.00 plus 20% on the excess over USD 895.24
2,038.10 and over USD 288.57 plus 30% on the excess over USD 2,038.10