PA · AmericasSA · Asia
Panama vs Saudi Arabia: tax rates compared
Panama has an income tax rate of 25%, 25pp above Saudi Arabia's 0%. The 200-country average is 28%: both sit below it.
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 | PA | SA | Difference |
|---|---|---|---|
| Income Tax | 25% | 0% | PA +25 pplargest gap |
| Corporate Tax | 25% | 20% | PA +5 pp |
| VAT | 7% | 15% | SA +8 pp |
| Capital Gains Tax | 10% | 0% | PA +10 pp |
| Wealth Tax | 0% | 0% | match |
Income Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 25% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Taxes on personal income) · as of 2026-01-18 |
| Saudi Arabia | 0% | Source: PWC Worldwide Tax Summaries — Saudi Arabia (Individual, Taxes on personal income) · as of 2026-01-14 |
| Difference | +25 pp | Panama higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Saudi Arabia | 20% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | +5 pp | Panama higher |
Panama has a corporate tax rate of 25%, 5pp above Saudi Arabia's 20%. The 201-country average is 22.6%: Panama sits above it, Saudi Arabia sits below it.
VAT
| Country | Rate | Source |
|---|---|---|
| Panama | 7% | Source: PWC Worldwide Tax Summaries — Panama (Corporate, Other taxes) · as of 2026-01-18 |
| Saudi Arabia | 15% | Source: PWC Worldwide Tax Summaries — Saudi Arabia (Corporate, Other taxes) · as of 2020-07-01 |
| Difference | −8 pp | Saudi Arabia higher |
Saudi Arabia has a VAT rate of 15%, 8pp above Panama's 7%. The 181-country average is 15%: Panama sits below it, Saudi Arabia matches the world average. Panama's figure is dated 2026-01-18 and Saudi Arabia's 2020-07-01, so the two rates come from different data vintages.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 10% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| Saudi Arabia | 0% | Source: PWC Worldwide Tax Summaries — Saudi Arabia (Individual, Income determination) · as of 2026-01-14 |
| Difference | +10 pp | Panama higher |
Panama has a capital gains tax rate of 10%, 10pp above Saudi Arabia's 0%. The 175-country average is 10.3%: both sit below it.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 0% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| Saudi Arabia | 0% | Source: PWC Worldwide Tax Summaries — Saudi Arabia (Individual, Other taxes) · as of 2026-01-14 |
| Difference | 0 pp | displayed rates match |
Panama and Saudi Arabia share the same wealth tax rate: 0%. The 193-country average is 0.1%: both sit below it.
Not covered for both countries yet: Crypto Tax.