Bhutan
Southern Asia · BT · 1 treaties
What are the main tax rates in Bhutan?
Bhutan has a top personal income tax rate of 30%, a corporate tax rate of 25%, and a standard VAT of 7%.
Tax profile
| Corporate income tax | 25% |
| Withholding — dividends | 10% |
| Withholding — interest | 5% |
| Withholding — royalties | 10% |
| VAT / GST (standard) | 7% |
| Personal income (top rate) | 30% |
| Capital gains | n/a |
| Tax system | Worldwide |
| Residency threshold | 183 days |
| Exit / departure tax | No |
| CFC rules | No |
| Transfer pricing | None |
| Digital nomad visa | No |
| Digital services tax | none |
| Global minimum tax (Pillar 2) | None |
Common questions
- How long does it take to become a tax resident in Bhutan?
- You become a tax resident in Bhutan after being physically present for 183 days.
- Does Bhutan offer a nomad visa?
- Yes, Bhutan offers a nomad visa.
- What is the dividend withholding tax rate in Bhutan?
- The dividend withholding tax rate in Bhutan is 10%.
Tax residency
Easy to leaveWhat makes you a tax resident — and how hard it is to stop being one.
- stay in the Kingdom of Bhutan during an income year equal to or more than 6 months (183+ days in the calendar year)
Tax residency is based purely on physical presence of at least six months in the calendar year; dropping below this day-count and ceasing to stay in Bhutan is generally sufficient to stop being a tax resident.
Source: Department of Revenue and Customs, Ministry of Finance, Royal Government of Bhutan
Tax treaty network (1)
In-force double-tax treaty partners. Treaty-reduced withholding (dividends / interest / royalties) shown where the official source publishes a rate; otherwise the country's statutory rate applies unless the treaty text provides a reduction.
| Partner | Div | Int | Roy |
|---|---|---|---|
| India | — | — | — |