MY · AsiaPW · Oceania

Malaysia vs Palau: tax rates compared

Malaysia's income tax rate is 18pp higher than Palau's (30% vs 12%). The 200-country average is 28%: Malaysia sits above it, Palau sits below it.

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

At a glance

0102030405060Income12%30%Capital Gains0%Crypto0%Wealth Tax0%
four shared taxes, side by side
Tax MY PWDifference
Income Tax30%12%MY +18 pplargest gap
Capital Gains Tax0%0%match
Crypto Tax0%0%match
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Malaysia30%Source: PWC Worldwide Tax Summaries — Malaysia (Individual, Taxes on personal income) · as of 2026-06-16
Palau12%Source: Government of Palau — Bureau of Revenue and Taxation, Wages and Salary Tax · as of 2026-07-20
Difference+18 ppMalaysia higher

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Malaysia0%Source: PwC Worldwide Tax Summaries — Malaysia (Individual, Income determination) · as of 2026-06-16
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference0 ppdisplayed rates match

Malaysia's capital gains tax rate is identical to Palau's — both sit at 0%. The 175-country average is 10.3%: both sit below it.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
Malaysia0%Source: Inland Revenue Board of Malaysia (LHDN) — Guidelines on Tax Treatment on Digital Currency Transaction (2nd Edition) · as of 2025-12-05
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference0 ppdisplayed rates match

Malaysia's crypto tax rate is identical to Palau's — both sit at 0%. The 88-country average is 13%: both sit below it. Malaysia's figure is dated 2025-12-05 and Palau's 2026-07-19, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Malaysia0%Source: PWC Worldwide Tax Summaries — Net wealth/worth tax rates (quick chart) · as of 2026-06-16
Palau0%Source: Palau National Code, Title 40 (Revenue and Taxation) — official text · as of 2026-07-18
Difference0 ppdisplayed rates match

Malaysia's wealth tax rate is identical to Palau's — both sit at 0%. The 193-country average is 0.1%: both sit below it.

Not covered for both countries yet: Corporate Tax, VAT.