5 Countries with the Lowest Income Tax Rates in the World

In this article, we will look at 5 countries with the lowest income tax rates in the world. If you want to read our detailed analysis, head straight to 20 Countries with the Lowest Income Tax Rates in the World.

5. United Arab Emirates

Personal Income Tax Rate: 0%

Corporate Income Tax Rate: 9%

GDP Per Capita: $92,950

The United Arab Emirates is one of the most developed countries in the world. The country has become a hub for startups in recent years due to its flexible taxes. The United Arab Emirates has a 9% corporate income tax rate and ranks fifth among the countries with the lowest income tax rates in the world. 

4. The Bahamas

Personal Income Tax Rate: 0%

Corporate Income Tax Rate: 0%

GDP Per Capita: $46,300

The Bahamas has no taxes on personal income or corporate income. The country has a GDP per capita of $46,300. The Bahamas is one of the countries with the lowest income tax rates in the world. 

3. Bahrain

Personal Income Tax Rate: 0%

Corporate Income Tax Rate: 0%

GDP Per Capita: $62,750

Bahrain has no tax on personal income and has no taxes for corporations from non-oil sectors. Though, the country has a 46% corporate income tax rate for oil corporations. Bahrain ranks third among the countries with the lowest income tax rates in the world.  

2. Cayman Islands

Personal Income Tax Rate: 0%

Corporate Income Tax Rate: 0%

GDP Per Capita: $99,624

The Cayman Islands has no income tax rate either on personal income or corporate income. The country has a GDP per capita of $99,624 and ranks second among the countries with the lowest income tax rates in the world.  

1. Bermuda

Personal Income Tax Rate: 0%

Corporate Income Tax Rate: 0%

GDP Per Capita: $118,774

Bermuda is also among those countries with no income tax rate. With a GDP per capita of $118,774, Bermuda is one of the countries with the lowest income tax rates in the world.  

You can also take a look at 50 Least Developed Countries in the World in 2024 and 30 Most Underrated Cities in the US.