WorldTax CompareAll Comparisons

Brazil vs Iran
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇧🇷 Brazil
vs
🇮🇷 Iran
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
0–27.5%
Zero-rate up to R$5,000/mo fully effective
No change
0–35%
Fiscal pressure from oil sanctions; rate reform possible
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
~27.5% combined
IBS+CBS advancing; ICMS/ISS phasing out
-0.5pp vs 2025
10%
10% standard maintained
No change
Corporate Tax Rate
Corporate Tax Rate
34%
34% maintained; reform discussions ongoing
No change
25%
25% standard; sanctions create significant tax planning distortions
No change
Capital Gains Tax
Capital Gains Tax
15–22.5%
Offshore income now fully captured
No change
25%
25% via income
No change
Social Security & Payroll
Social Security / Payroll
~36%
Payroll simplification proposals ongoing
No change
~30%
SSO; formal sector proportion low
No change
State, Regional & Local Taxes

🇧🇷 BrazilState & Municipal Taxes

Brazil has one of the world's most complex tax systems. States levy ICMS at 7%–18% varying by state. Municipalities levy ISS (services tax) at 2%–5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.

🇮🇷 IranProvincial & Municipal Taxes

Iran's 31 provinces and municipalities have limited independent taxing powers. Municipal contributions (عوارض شهرداری) are levied on construction, business licences, and various services. The Iranian National Tax Administration (INTA) administers national taxes. Significant portions of the economy operate in the informal sector or through foundations (bonyads) that have historically avoided taxation. Sanctions have severely distorted the economy and tax base. The value-added tax has been progressively expanded since 2008.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Brazil vs Iran: Key Tax Differences (2026)

💰 Income Tax: 🇮🇷 Iran has a higher top income tax rate (0–27.5% vs 0–35%). 🇧🇷 Brazil is more favourable for high earners.

🛒 VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 10%).

🏢 Corporate Tax: 🇮🇷 Iran offers a lower corporate rate (25% vs 34%), which can influence business location decisions.

📈 Capital Gains: 🇧🇷 Brazil taxes investment gains at a lower rate (22.5% vs 25%), benefiting investors.

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