PW · OceaniaUS · Americas

Palau vs United States: tax rates compared

United States's income tax rate is 31.7pp higher than Palau's (43.7% vs 12%). The 200-country average is 28%: Palau sits below it, United States sits above it. Palau's figure is dated 2026-07-20 and United States's 2025-01-01, so the two rates come from different data vintages.

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%43.7%Capital Gains0%20%Crypto0%20%Wealth Tax0%
four shared taxes, side by side
Tax PW USDifference
Income Tax12%43.7%US +31.7 pplargest gap
Capital Gains Tax0%20%US +20 pp
Crypto Tax0%20%US +20 pp
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
United States43.7%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference−31.7 ppUnited States higher

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
United States20%Source: PWC Worldwide Tax Summaries — United States (Individual, Other taxes) · as of 2025-01-01
Difference−20 ppUnited States higher

United States's capital gains tax rate is 20pp higher than Palau's (20% vs 0%). The 175-country average is 10.3%: Palau sits below it, United States sits above it. Palau's figure is dated 2026-07-19 and United States's 2025-01-01, so the two rates come from different data vintages.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
United States20%Source: IRS Publication 550 (2025), Investment Income and Expenses · as of 2025-01-01
Difference−20 ppUnited States higher

United States's crypto tax rate is 20pp higher than Palau's (20% vs 0%). The 88-country average is 13%: Palau sits below it, United States sits above it. Palau's figure is dated 2026-07-19 and United States's 2025-01-01, so the two rates come from different data vintages.

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
United States0%Source: PWC Worldwide Tax Summaries — United States (Individual, Other taxes) · as of 2026-03-18
Difference0 ppdisplayed rates match

Palau's wealth tax rate is identical to United States'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.