Overview of Income Tax in the Arab World
Income tax is a crucial component of public finance, impacting various sectors such as education, infrastructure, and security. The rates and regulations governing income tax vary significantly across countries. In the Arab world, Mauritania stands out with the highest individual income tax rate at 40%, while several Gulf Cooperation Council (GCC) countries impose no income tax at all.
Highest and Lowest Income Tax Rates in the Arab Region
As of 2024, the following are the top 10 Arab countries with the highest individual income tax rates: 1. Mauritania: 40% 2. Morocco: 38% 3. Algeria: 35% 4. Tunisia: 35% 5. Egypt: 27.5% 6. Lebanon: 25% 7. Syria: 22% 8. Jordan: 20% 9. Iraq: 15% 10. Sudan: 15%
Conversely, the following countries are noted for having no individual income tax: - Qatar - Kuwait - Oman - Bahrain - Saudi Arabia - United Arab Emirates
This tax structure reflects a broader trend in the region, where many Arab nations utilize progressive tax systems, imposing higher rates on those with greater incomes.
