Tax in Micronesia (Federated States of)

Last reviewed: · by TaxProsRated editorial

TL;DR

Federated States of Micronesia's Department of Finance and Administration administers personal income tax at progressive rates, corporate tax framework, and gross-revenue tax. FSM uses USD.

Tax authority

Department of Finance and Administration under the FSM Government [SC1].

Filing framework

Annual returns due specific.

Residency

Residents are physically present 183+ days [SC2].

Personal income tax

Progressive bands.

Corporate tax

FSM-specific framework. Gross-revenue tax may apply.

Indirect tax

State-level frameworks vary [SC3]. FSM does not have unified national VAT.

Cryptoassets

No dedicated framework.

Treaties

Very limited DTT network. Pacific Islands Forum member.

Frequently asked

What is the FSM tax framework?

Personal progressive; corporate FSM-specific framework; state-level frameworks vary; no unified national VAT. USD currency.

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Sources

The figures, dates, and rules on this page are sourced from the documents listed below. Where two sources disagree, both are listed.

  1. Department of Finance and Administration (FSM) · accessed
Important disclaimer

Informational only — not tax advice. This page summarises publicly available information about tax in Micronesia (Federated States of) as of May 2026. Tax laws change, individual circumstances vary, and the application of any rule depends on your specific facts.

TaxProsRated does not provide tax, legal, accounting, or financial advice. Before acting on anything you read here, consult a qualified tax professional licensed in your jurisdiction (in the US: CPA, Enrolled Agent, or attorney; in the UK: CIOT- or ATT-qualified adviser; in Australia: TPB-registered tax agent; elsewhere: a locally-licensed equivalent). TaxProsRated, its operators, and its contributors disclaim all liability for action taken in reliance on this page.