VG · AmericasPW · Oceania

British Virgin Islands vs Palau: tax rates compared

Between the two, Palau's income tax rate (12%) tops British Virgin Islands's (0%) by 12pp. The 200-country average is 28%: both sit below it.

Verified data covers five of the six tracked tax types for both countries; every rate below is cited to its source and dated.

At a glance

0102030405060Income0%12%VAT0%10%Capital Gains0%Crypto0%Wealth Tax0%
five shared taxes, side by side
Tax VG PWDifference
Income Tax0%12%PW +12 pplargest gap
VAT0%10%PW +10 pp
Capital Gains Tax0%0%match
Crypto Tax0%0%match
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
British Virgin Islands0%Source: Government of the Virgin Islands — All Government Services (Inland Revenue Department tax listing) · as of 2026-07-20
Palau12%Source: Government of Palau — Bureau of Revenue and Taxation, Wages and Salary Tax · as of 2026-07-20
Difference−12 ppPalau higher

VAT

VAT, side by side
CountryRateSource
British Virgin Islands0%Source: Government of the Virgin Islands — Inland Revenue Department · as of 2026-07-19
Palau10%Source: Palau Bureau of Revenue & Taxation — Palau Goods and Services Tax (PGST) · as of 2023-01-01
Difference−10 ppPalau higher

Between the two, Palau's VAT rate (10%) tops British Virgin Islands's (0%) by 10pp. The 181-country average is 15%: both sit below it. British Virgin Islands's figure is dated 2026-07-19 and Palau's 2023-01-01, so the two rates come from different data vintages.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
British Virgin Islands0%Source: Government of the Virgin Islands — All Government Services (Inland Revenue Department tax listing) · as of 2026-07-19
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference0 ppdisplayed rates match

There's no gap here — British Virgin Islands and Palau both post a capital gains tax rate of 0%. The 175-country average is 10.3%: both sit below it.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
British Virgin Islands0%Source: Government of the Virgin Islands — All Government Services (Inland Revenue Department tax listing) · as of 2026-07-19
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference0 ppdisplayed rates match

There's no gap here — British Virgin Islands and Palau both post a crypto tax rate of 0%. The 88-country average is 13%: both sit below it.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
British Virgin Islands0%Source: Government of the Virgin Islands — Inland Revenue Department services listing · as of 2026-07-18
Palau0%Source: Palau National Code, Title 40 (Revenue and Taxation) — official text · as of 2026-07-18
Difference0 ppdisplayed rates match

There's no gap here — British Virgin Islands and Palau both post a wealth tax rate of 0%. The 193-country average is 0.1%: both sit below it.

Not covered for both countries yet: Corporate Tax.