Iraq

Tax returns

The system in Iraq is similar to that of a pay-as-you-earn (PAYE) regime, whereby a monthly statement has to be filed at the Direct Deduction Division of the tax authorities.

Payment of tax

The employer is responsible for deducting the staff income tax from their salaries, and forwarding that amount to the General Commission of Taxes/Direct Deduction Division within a period not exceeding the first 15 days of the next month in which the assessment was incurred.

At the end of the fiscal year, reconciliation takes place as to the annual staff personal income tax with the total monthly amounts paid during subsequent months.