PW · OceaniaSO · Africa

Palau vs Somalia: tax rates compared

Between the two, Somalia's income tax rate (18%) tops Palau's (12%) by 6pp. The 200-country average is 28%: both sit below it. Palau's figure is dated 2026-07-20 and Somalia's 2025-11-01, so the two rates come from different data vintages.

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

At a glance

0102030405060Income12%18%Wealth Tax0%
two shared taxes, side by side
Tax PW SODifference
Income Tax12%18%SO +6 pplargest gap
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Palau12%Source: Government of Palau — Bureau of Revenue and Taxation, Wages and Salary Tax · as of 2026-07-20
Somalia18%Source: Ministry of Finance, Federal Republic of Somalia — Income Tax Manual (for the Income Tax Law 2025 & Income Tax Regulations 2025) · as of 2025-11-01
Difference−6 ppSomalia higher

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Palau0%Source: Palau National Code, Title 40 (Revenue and Taxation) — official text · as of 2026-07-18
Somalia0%Source: Somalia Revenue Directorate — Direct Tax · as of 2026-07-18
Difference0 ppdisplayed rates match

There's no gap here — Palau and Somalia 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, VAT, Capital Gains Tax, Crypto Tax.