Iraq Tax Calculator (2026)

Iraq Income Tax Brackets (2025)

Personal allowance: IQD 2,500,000

Social Security

What is the income tax system like in Iraq?

Iraq uses a progressive tax system with four income tax brackets ranging from 3% to 15%. After you deduct your personal allowance of 2,500,000 IQD and your 5% social security contributions from your gross income, the remaining taxable income is taxed according to these brackets, with rates increasing as your income rises.

How much do I need to pay in social security contributions in Iraq?

As an employee in Iraq, you contribute 5% of your gross salary to social security. The good news is that this contribution is tax-deductible, meaning it reduces your taxable income before income tax is calculated, lowering your overall tax burden.

What is the personal allowance in Iraq and who qualifies?

Iraq provides a personal allowance of 2,500,000 IQD per year, which is subtracted from your gross income before income tax is applied. This allowance is available to private sector employees categorized as single or bachelor status for tax purposes.

What tax bracket will I fall into if I earn a high salary in Iraq?

If your taxable income (after allowances and social security deductions) exceeds 1,000,000 IQD, you'll be in Iraq's highest tax bracket at 15%. The four brackets are: 3% up to 250,000 IQD, 5% from 250,000 to 500,000 IQD, 10% from 500,000 to 1,000,000 IQD, and 15% above 1,000,000 IQD.

Are there regional differences in income tax rates across Iraq?

The tax data for Iraq does not include regional or subnational variations in income tax rates, so the national brackets and allowances apply uniformly. If you're relocating to a specific region, it's worth confirming with local tax authorities whether any additional regional taxes apply.

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