Countries With No Personal Income Tax 2026
A handful of jurisdictions raise revenue without taxing personal income at all - typically funding the state through consumption, customs, or corporate channels instead. These 6 levy no personal income tax as of 2026. Each row carries its sourced value and links through to the country detail, where payroll or social levies (if any) are spelled out.
As of 2026, 6 jurisdictions in this index levy no personal income tax: Bermuda, British Virgin Islands, Cayman Islands, Monaco, The Bahamas and United Arab Emirates. Each position is individually sourced below - related charges (such as payroll, stamp, or transfer duties) can still apply, so read each country's detail.
Selected where the sourced top personal income rate is an unambiguous zero.
| Jurisdiction | Corporate | Personal (top) | VAT / GST | Capital gains | Inheritance |
|---|---|---|---|---|---|
| Bermuda | 0%No general corporate income tax; a 15% Corporate Income Tax applies to in-scope multinational groups (revenue >= EUR 750m) from 2025 | 0%No personal income tax (a payroll tax applies to employers and employees) | NoneNo VAT or sales tax | No CGTNo capital gains tax | NoNo inheritance, estate, or gift tax |
| British Virgin Islands | 0%No corporate income tax | 0%No personal income tax; a payroll tax applies (up to 8% employee share on remuneration over USD 10,000/year) | NoneNo VAT or sales tax | No CGTNo capital gains tax | NoNo inheritance, estate, or gift tax |
| Cayman Islands | 0%No corporate income tax | 0%No personal income tax | NoneNo VAT or sales tax | No CGTNo capital gains tax | NoNo inheritance, estate, or gift tax |
| Monaco | 25%Profits tax applies only to companies earning over 25% of turnover outside Monaco; purely domestic activity is untaxed | 0%No personal income tax for residents (French nationals remain liable to French income tax under the 1963 treaty) | 20%French VAT applies (Monaco is within the French VAT territory) | No CGTNo capital gains tax on individuals | 0-16%Direct line (spouse and children) exempt; siblings 8% up to unrelated 16% |
| The Bahamas | 0%No corporate income tax; a domestic minimum top-up tax (DMTT) applies to large multinational groups (revenue >= EUR 750m) | 0%No personal income tax | 10%Standard VAT (5% on certain essentials) | No CGTNo capital gains tax | NoNo inheritance, estate, or gift tax |
| United Arab Emirates | 9%Federal corporate tax on taxable income over AED 375,000 (0% below); 0% for qualifying free-zone persons | 0%No personal income tax | 5%Standard VAT rate | No separate CGTNo tax on personal investment gains; business gains fall under the 9% corporate tax regime (participation exemption available) | NoNo inheritance or estate tax |
Informational only, not tax advice. Rates as of the dates shown; verify with a qualified professional before acting. Click a jurisdiction to see each figure with its source link and as-of date. Rates reviewed through 2026-06-23.
Which countries have no personal income tax?
As of 2026, Bermuda, British Virgin Islands, Cayman Islands, Monaco, The Bahamas and United Arab Emirates are the jurisdictions in this index with no personal income tax. Each entry is sourced and dated; follow any country through for the qualifications behind its position.
Does no personal income tax mean a country is tax-free?
No. A jurisdiction can levy no personal income tax yet still raise revenue through corporate tax, VAT or GST, payroll, customs, or stamp duties. Check the full country breakdown and confirm your own position with a qualified professional before acting.
How current are these personal income tax figures?
Each figure is dated to its source's review date and drawn from PwC Worldwide Tax Summaries, the OECD, and national tax authorities; the most recent review here is 2026-06-23. Rates change, so verify the as-of date on the country page before relying on a figure.
Important disclaimer
Informational only — not tax advice. This page summarises publicly available information about tax as of July 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 . TaxProsRated, its operators, and its contributors disclaim all liability for action taken in reliance on this page.