Last reviewed - 04 December 2023

Iraq, a country in Western Asia, is bordered by Jordan to the west, Syria to the northwest, Turkey to the north, Iran to the east, and Kuwait and Saudi Arabia to the south. Iraq is divided into 18 governorates, with Baghdad as the capital. The official languages of Iraq are Arabic and Kurdish, and the currency is the Iraqi dinar (IQD).

Formerly part of the Ottoman Empire, Iraq was occupied by Britain during the course of World War I. In 1920, it was declared a League of Nations mandate under United Kingdom administration. Iraq attained its independence as a kingdom in 1932. A ‘republic’ was proclaimed in 1958. In August 1990, Iraq seized Kuwait but was expelled by United States-led, United Nations coalition forces during the Gulf War of January/February 1991.

In October 2005, Iraqis approved a constitution in a national referendum and, pursuant to this document, elected a 275-member Council of Representatives (CoR) in December 2005. Sustained increases in the standard of living of Iraq still depend on the government passing major policy reforms and developing Iraq's massive oil reserves.

Potential foreign investors now view Iraq with much more interest. Iraq's economy is dominated by the oil sector, which provides over 90% of government revenue and 80% of foreign exchange earnings. Iraq's recent contracts with major oil companies have the potential to greatly expand oil revenues, but Iraq will need to upgrade its refinery and export infrastructure to enable these deals to reach their potential.

PwC has been very active in Iraq since 2006 and has two offices in Erbil, one in Baghdad, and one in Basra.

PwC Iraq provides advisory, audit, and tax services for key government entities, as well as banks, financial institutions, oil and gas companies, industrial companies, and agricultural companies within the Iraqi private sector. We support clients with the local knowledge and skills of our people and with access to a broad range of other professionals across the PwC global network of firms.

Quick rates and dates

Corporate income tax (CIT) rates
Headline CIT rate (%)

15 (35 for certain companies in the oil and gas sector)

Corporate income tax (CIT) due dates
CIT return due date

31 May

CIT final payment due date

Within 3 days from the assessment date.

CIT estimated payment due dates


Personal income tax (PIT) rates
Headline PIT rate (%)


Personal income tax (PIT) due dates
PIT return due date

31 March

PIT final payment due date


PIT estimated payment due dates

PAYE 15 days after the end of the month in which the salaries were paid.

Value-added tax (VAT) rates
Standard VAT rate (%)

Sales tax: Varies by good/service (see Iraq's corporate tax summary).

Withholding tax (WHT) rates
WHT rates (%) (Dividends/Interest/Royalties)

Resident: NA / 1.8 to 10 / 1.8 to 10 depending on the industry;

Non-resident: NA / 15 / 15

Capital gains tax (CGT) rates
Headline corporate capital gains tax rate (%)

Capital gains are subject to the normal CIT rate.

Headline individual capital gains tax rate (%)

Capital gains are subject to the normal PIT rate.

Net wealth/worth tax rates
Headline net wealth/worth tax rate (%)


Inheritance and gift tax rates
Headline inheritance tax rate (%)

6 (over IQD 90 million)

Headline gift tax rate (%)

Not clear, but it may be subject to the normal PIT rate.

NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement)

NP stands for Not Provided (i.e. the information is not currently provided in this chart)

All information in this chart is up to date as of the 'Last reviewed' date on the corresponding territory Overview page. This chart has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this chart, and, to the extent permitted by law, PwC does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.