FM · OceaniaTL · Asia

Micronesia vs Timor-Leste: tax rates compared

There's no gap here — Micronesia and Timor-Leste both post an income tax rate of 10%. The 200-country average is 28%: both sit 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

0102030405060Income10%Corporate10%30%Capital Gains0%10%Wealth Tax0%
four shared taxes, side by side
Tax FM TLDifference
Income Tax10%10%match
Corporate Tax30%10%FM +20 pplargest gap
Capital Gains Tax0%10%TL +10 pp
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Micronesia10%Source: Code of the Federated States of Micronesia, Title 54 (Taxation and Customs), Section 121 · as of 2026-07-20
Timor-Leste10%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Taxes on personal income) · as of 2026-03-05
Difference0 ppdisplayed rates match

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Micronesia30%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Timor-Leste10%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference+20 ppMicronesia higher

Between the two, Micronesia's corporate tax rate (30%) tops Timor-Leste's (10%) by 20pp. The 201-country average is 22.6%: Micronesia sits above it, Timor-Leste sits below it.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Micronesia0%Source: Code of the Federated States of Micronesia, Title 54 — Taxation and Customs · as of 2026-07-19
Timor-Leste10%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Taxes on personal income) · as of 2026-03-05
Difference−10 ppTimor-Leste higher

Between the two, Timor-Leste's capital gains tax rate (10%) tops Micronesia's (0%) by 10pp. The 175-country average is 10.3%: both sit below it.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Micronesia0%Source: Federated States of Micronesia Code, Title 54 (Taxation and Customs), via fsmlaw.org · as of 2026-07-18
Timor-Leste0%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Other taxes) · as of 2026-03-05
Difference0 ppdisplayed rates match

There's no gap here — Micronesia and Timor-Leste 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: VAT, Crypto Tax.