PA · AmericasZA · Africa
Panama vs South Africa: tax rates compared
South Africa's income tax rate is 20pp higher than Panama's (45% vs 25%). The 200-country average is 28%: Panama sits below it, South Africa sits above 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 | ZA | Difference |
|---|---|---|---|
| Income Tax | 25% | 45% | ZA +20 pplargest gap |
| Corporate Tax | 25% | 27% | ZA +2 pp |
| VAT | 7% | 15% | ZA +8 pp |
| Capital Gains Tax | 10% | 18% | ZA +8 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 |
| South Africa | 45% | Source: PWC Worldwide Tax Summaries — South Africa (Individual, Taxes on personal income) · as of 2026-03-01 |
| Difference | −20 pp | South Africa higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| South Africa | 27% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | −2 pp | South Africa higher |
South Africa's corporate tax rate is 2pp higher than Panama's (27% vs 25%). The 201-country average is 22.6%: both sit above it.
VAT
| Country | Rate | Source |
|---|---|---|
| Panama | 7% | Source: PWC Worldwide Tax Summaries — Panama (Corporate, Other taxes) · as of 2026-01-18 |
| South Africa | 15% | Source: PWC Worldwide Tax Summaries — South Africa (Corporate, Other taxes) · as of 2026-05-29 |
| Difference | −8 pp | South Africa higher |
South Africa's VAT rate is 8pp higher than Panama's (15% vs 7%). The 181-country average is 15%: Panama sits below it, South Africa matches the world average.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 10% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| South Africa | 18% | Source: PWC Worldwide Tax Summaries — South Africa (Individual, Income determination) · as of 2026-05-29 |
| Difference | −8 pp | South Africa higher |
South Africa's capital gains tax rate is 8pp higher than Panama's (18% vs 10%). The 175-country average is 10.3%: Panama sits below it, South Africa sits above it.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 0% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| South Africa | 0% | Source: PWC Worldwide Tax Summaries — South Africa (Individual, Other taxes) · as of 2026-05-29 |
| Difference | 0 pp | displayed rates match |
Panama's wealth tax rate is identical to South Africa's — both sit at 0%. The 193-country average is 0.1%: both sit below it.
Not covered for both countries yet: Crypto Tax.