Laos Tax Calculator (2026)

Income tax rates and take-home pay for Laos

Laos Income Tax Brackets (2025)

Bracket Income Range Rate
First BracketLAK 0 - LAK 15,600,0000.0%
Second BracketLAK 15,600,000 - LAK 60,000,0005.0%
Third BracketLAK 60,000,000 - LAK 180,000,00010.0%
Fourth BracketLAK 180,000,000 - LAK 300,000,00015.0%
Fifth BracketLAK 300,000,000 - LAK 780,000,00020.0%
Sixth BracketLAK 780,000,000+25.0%

Social Security Fund

Bracket Income Range Rate
Employee ContributionLAK 0+5.5%

Capped at LAK 2,970,000 per year

Key Facts

Tax Year

2025

Currency

LAK

Top Rate

25.0%

Brackets

6 brackets

Tax-Free Threshold

LAK 15,600,000

Social Contributions

1 item

Assumptions

  • · Social security contributions are deductible from gross income to determine the taxable income base.
  • · Worker profile (single, no dependents) excludes family-related deductions (e.g., LAK 5,000,000 per dependent).
  • · Monthly social security contribution base is capped at LAK 4,500,000, resulting in an annual cap of LAK 54,000,000.
  • · Income tax brackets used are from the 'Annual income base' table in the source.

Frequently asked questions

How much income tax do I pay in Laos if I'm a remote worker?

Laos has a progressive income tax system with six brackets ranging from 0% to 25%. The first LAK 15,600,000 of your annual income is tax-free, then rates increase progressively as your income rises. Social security contributions (5.5% of gross income, capped at LAK 2,970,000 annually) are deductible from your gross income before calculating tax.

What is the social security contribution rate in Laos?

Employees in Laos contribute 5.5% of their gross income to the Social Security Fund. The maximum annual contribution is capped at LAK 2,970,000, which corresponds to a monthly contribution base cap of LAK 4,500,000.

At what income level do I start paying income tax in Laos?

You don't pay any income tax until your annual income exceeds LAK 15,600,000 after social security deductions. Once you cross this threshold, you enter the second tax bracket and pay 5% on income between LAK 15,600,000 and LAK 60,000,000.

What is the highest income tax rate in Laos?

The top marginal income tax rate in Laos is 25%, which applies to annual income exceeding LAK 780,000,000. Laos uses a six-bracket progressive tax system, so your effective tax rate depends on how much of your income falls into each bracket.

Are social security contributions deductible from my taxable income in Laos?

Yes, social security contributions are fully deductible from your gross income to calculate your taxable income base. This means your 5.5% Social Security Fund contribution reduces the amount of income subject to income tax before the brackets are applied.

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