PA · AmericasAE · Asia
Panama vs United Arab Emirates: tax rates compared
Between the two, Panama's income tax rate (25%) tops United Arab Emirates's (0%) by 25pp. 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 | AE | Difference |
|---|---|---|---|
| Income Tax | 25% | 0% | PA +25 pplargest gap |
| Corporate Tax | 25% | 9% | PA +16 pp |
| VAT | 7% | 5% | PA +2 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 |
| United Arab Emirates | 0% | Source: PWC Worldwide Tax Summaries — United Arab Emirates (Individual, Taxes on personal income) · as of 2026-03-12 |
| Difference | +25 pp | Panama higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| United Arab Emirates | 9% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | +16 pp | Panama higher |
Between the two, Panama's corporate tax rate (25%) tops United Arab Emirates's (9%) by 16pp. The 201-country average is 22.6%: Panama sits above it, United Arab Emirates sits below it.
VAT
| Country | Rate | Source |
|---|---|---|
| Panama | 7% | Source: PWC Worldwide Tax Summaries — Panama (Corporate, Other taxes) · as of 2026-01-18 |
| United Arab Emirates | 5% | Source: PWC Worldwide Tax Summaries — United Arab Emirates (Corporate, Other taxes) · as of 2026-03-12 |
| Difference | +2 pp | Panama higher |
Between the two, Panama's VAT rate (7%) tops United Arab Emirates's (5%) by 2pp. The 181-country average is 15%: both sit below it.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Panama | 10% | Source: PWC Worldwide Tax Summaries — Panama (Individual, Other taxes) · as of 2026-01-18 |
| United Arab Emirates | 0% | Source: PWC Worldwide Tax Summaries — United Arab Emirates (Individual, Income determination) · as of 2026-03-12 |
| Difference | +10 pp | Panama higher |
Between the two, Panama's capital gains tax rate (10%) tops United Arab Emirates's (0%) by 10pp. 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 |
| United Arab Emirates | 0% | Source: PWC Worldwide Tax Summaries — United Arab Emirates (Individual, Other taxes) · as of 2026-03-12 |
| Difference | 0 pp | displayed rates match |
There's no gap here — Panama and United Arab Emirates 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: Crypto Tax.