Malaysia vs Bhutan
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฒ๐พ Malaysia โ State & Local Authority Taxes
Malaysia's 13 states and 3 federal territories have limited independent taxing powers. States levy quit rent (cukai tanah) on land, assessment rates (cukai pintu/taksiran) on property through local councils, and royalties on natural resources. Petroleum royalties are a major state revenue in Sabah, Sarawak, and Terengganu. Local councils (majlis perbandaran) levy property assessment at 6%โ12% of estimated annual rental value. No state income taxes exist โ this is federal.
๐ง๐น Bhutan โ Dzongkhag & Thromde Taxes
Bhutan's 20 dzongkhags (districts) and thromdes (municipalities) levy local land tax, cattle tax, and local fees. Bhutan is a constitutional monarchy pursuing Gross National Happiness over GDP. Corporate and business income taxes are primary revenue sources; personal income tax is minimal for most citizens given the country's structure. Bhutan has major hydropower export revenues from India and has become notable for state-enterprise cryptocurrency mining. The country is transitioning toward more market-oriented development with LDC graduation aspirations.
Malaysia vs Bhutan: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฒ๐พ Malaysia has a higher top income tax rate (0โ30% vs 0โ25%). ๐ง๐น Bhutan is more favourable for high earners.
๐ VAT/Sales Tax: Malaysia has a higher consumption tax (10% vs 0%).
๐ข Corporate Tax: ๐ฒ๐พ Malaysia offers a lower corporate rate (24% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ง๐น Bhutan taxes investment gains at a lower rate (0% vs 30%), benefiting investors.