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Dominican Republic vs Panama: tax rates compared
Dominican Republic's income tax rate is identical to Panama's — both sit at 25%. The 200-country average is 28%: both sit below it. Dominican Republic's figure is dated 2025-12-05 and Panama's 2026-01-18, so the two rates come from different data vintages.
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
| Tax | DO | PA | Difference |
|---|---|---|---|
| Income Tax | 25% | 25% | match |
| Corporate Tax | 27% | 25% | DO +2 pp |
| VAT | 18% | 7% | DO +11 pp |
| Capital Gains Tax | 25% | 10% | DO +15 pplargest gap |
| Wealth Tax | 0% | 0% | match |
Income Tax
| Country | Rate | Source |
|---|---|---|
| Dominican Republic | 25% | Source: PwC Worldwide Tax Summaries — Dominican Republic, Individual - Taxes on personal income · as of 2025-12-05 |
| Panama | 25% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Taxes on personal income) · as of 2026-01-18 |
| Difference | 0 pp | displayed rates match |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Dominican Republic | 27% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Panama | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | +2 pp | Dominican Republic higher |
Dominican Republic's corporate tax rate is 2pp higher than Panama's (27% vs 25%). The 201-country average is 22.6%: both sit above it.
VAT
| Country | Rate | Source |
|---|---|---|
| Dominican Republic | 18% | Source: PWC Worldwide Tax Summaries — Dominican Republic (Corporate, Other taxes) · as of 2025-12-05 |
| Panama | 7% | Source: PWC Worldwide Tax Summaries — Panama (Corporate, Other taxes) · as of 2026-01-18 |
| Difference | +11 pp | Dominican Republic higher |
Dominican Republic's VAT rate is 11pp higher than Panama's (18% vs 7%). The 181-country average is 15%: Dominican Republic sits above it, Panama sits below it. Dominican Republic's figure is dated 2025-12-05 and Panama's 2026-01-18, so the two rates come from different data vintages.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Dominican Republic | 25% | Source: PwC Worldwide Tax Summaries — Dominican Republic, Individual - Taxes on personal income · as of 2025-12-05 |
| Panama | 10% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| Difference | +15 pp | Dominican Republic higher |
Dominican Republic's capital gains tax rate is 15pp higher than Panama's (25% vs 10%). The 175-country average is 10.3%: Dominican Republic sits above it, Panama sits below it. Dominican Republic's figure is dated 2025-12-05 and Panama's 2026-01-18, so the two rates come from different data vintages.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Dominican Republic | 0% | Source: PWC Worldwide Tax Summaries — Dominican Republic (Individual, Other taxes) · as of 2025-12-05 |
| Panama | 0% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| Difference | 0 pp | displayed rates match |
Dominican Republic's wealth tax rate is identical to Panama's — both sit at 0%. The 193-country average is 0.1%: both sit below it. Dominican Republic's figure is dated 2025-12-05 and Panama's 2026-01-18, so the two rates come from different data vintages.
Not covered for both countries yet: Crypto Tax.