Peru Tax Calculator (2026)
Income tax rates and take-home pay for Peru
Peru Income Tax Brackets (2026)
| Bracket | Income Range | Rate |
|---|---|---|
| First bracket (0–5 UIT) | PEN 0 - PEN 27,500 | 8.0% |
| Second bracket (5–20 UIT) | PEN 27,500 - PEN 110,000 | 14.0% |
| Third bracket (20–35 UIT) | PEN 110,000 - PEN 192,500 | 17.0% |
| Fourth bracket (35–45 UIT) | PEN 192,500 - PEN 247,500 | 20.0% |
| Fifth bracket (over 45 UIT) | PEN 247,500+ | 30.0% |
Personal allowance: PEN 38,500
Pension contribution (National Pension System)
| Bracket | Income Range | Rate |
|---|---|---|
| National Pension System (SPP) | PEN 0+ | 13.0% |
Health insurance (EsSalud)
| Bracket | Income Range | Rate |
|---|---|---|
| EsSalud employee contribution | PEN 0+ | 10.0% |
Key Facts
Tax Year
2026
Currency
PEN
Top Rate
30.0%
Brackets
5 brackets
Allowance
PEN 38,500
Social Contributions
2 items
Assumptions
- · Model assumes domiciled individual (subject to tax on worldwide income).
- · Tax unit (UIT) for 2026 set at 5,500 PEN.
- · First 7 UIT (38,500 PEN) exempted from income tax as standard deduction.
- · Income tax brackets expressed in UIT converted to PEN using 5,500 PEN per UIT.
- · Employee pension contribution modeled at 13% (National Pension System) as the representative default.
- · Health insurance (EsSalud) modeled at 10% employee rate; employer pays 9% (excluded as employer-only).
- · Additional 3 UIT deduction for qualifying expenses not modeled as a separate tiered credit; subsumed into simplified standard deduction approach.
- · Professional service expense deduction (30% of payments) not modeled due to complexity and variability.
- · Capital gains and rental income special rates (5%) not modeled for this employment income comparison.
- · Charitable donation deduction (up to 10% of net income) not modeled as it is discretionary.
- · No significant tax credits or rebates available to individuals per source.
Frequently asked questions
How much of my income is tax-free in Peru?
Peru provides a standard employment deduction of 38,500 PEN, which means the first 38,500 PEN of your annual income is exempt from income tax. This deduction is equivalent to 7 UIT (Tax Unit), and any income above this threshold is subject to progressive tax brackets ranging from 8% to 30%.
What are Peru's income tax brackets?
Peru uses a five-bracket progressive tax system. Income above the 38,500 PEN deduction is taxed at: 8% (0-27,500 PEN), 14% (27,500-110,000 PEN), 17% (110,000-192,500 PEN), 20% (192,500-247,500 PEN), and 30% (over 247,500 PEN). Each bracket is cumulative, so you only pay the higher rate on income that falls within that bracket.
What are the mandatory pension and health contributions in Peru?
As an employee in Peru, you'll typically contribute 13% of your gross income to the National Pension System (SPP) and 10% to health insurance (EsSalud). The pension contribution is deductible from your taxable income, while the health insurance contribution is not, meaning you pay both before calculating your final tax liability.
Do I pay tax on worldwide income if I work in Peru?
Yes, if you are considered a domiciled individual in Peru, you are subject to tax on your worldwide income. This means even income earned outside Peru may be subject to Peruvian taxation if you meet the residency requirements, so it's important to understand your tax residency status when relocating.
Is there a difference between Peru's income tax for different regions?
Peru's income tax system is uniform across the country, with no regional or state-level income tax variations. The tax brackets, deductions, and rates described apply equally to all residents regardless of which region or city they work in within Peru.
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