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2026 calculator · Levant and Iraq

Iraq take-home pay and income tax calculator 2026

Hani · Founder & Tax Data Researcher · ArabTaxCalc

Enter your gross salary to see what reaches your bank account after income tax and social insurance, under the 2026 rules of the General Commission for Taxes (GCT).

Last checked: Source: General Commission for Taxes (GCT)Estimate
Short answer

In Iraq, a monthly salary of 1,000,000 Iraqi dinars leaves 845,417 Iraqi dinars take-home after 104,583 income tax and 50,000 social insurance (IQD), or 15.5% of gross pay.

Take-home pay calculatorOfficial 2026 rates

Calculate your take-home pay

IQD
Enter the salary as in your contract: basic pay plus fixed allowances.
The annual allowance for a married person is 4,500,000 dinars instead of 2,500,000 for a single person. Supporting documents must be submitted to the General Commission for Taxes.
An allowance of 200,000 dinars a year for each child with no income of their own who is under 18 or in full-time study.

Everything is calculated on your device. We do not store salaries or ask you to sign up.

Take-home pay in Iraqper month · Iraqi dinar
Gross salary1,000,000
Income tax− 104,583
Net per month
Iraqi dinar
845,417
Net 84.5%Income tax 10.5%Social insurance 5%
Net per year10,145,000
Total deductions15.5%
Income tax rate10.5%
Marginal rate15%
Full cost to the employer1,120,000
  • Allowances deducted: 2,500,000 dinars a year, plus the social security contribution.
  • This calculation is for federal Iraq. The Kurdistan Region runs its own taxes and its rules and rates may differ; we have not checked them.
  • The calculator assumes the whole salary is taxable basic pay and does not apply the exemptions for allowances.

Salary after tax in Iraq

Monthly take-home pay for common salaries, in Iraqi dinar (IQD).

Gross per monthDeducted per monthNet per monthNet per yearDeduction rate
400,000 IQD39,083360,9174,331,0009.8%
600,000 IQD77,583522,4176,269,00012.9%
800,000 IQD116,083683,9178,207,00014.5%
1,000,000 IQD154,583845,41710,145,00015.5%
1,500,000 IQD250,8331,249,16714,990,00016.7%
2,000,000 IQD347,0831,652,91719,835,00017.4%
3,000,000 IQD539,5832,460,41729,525,00018%
5,000,000 IQD924,5834,075,41748,905,00018.5%

Calculated with 2026 rules for a single, full-time employee whose salary is their only income.

Income tax rates in Iraq 2026

Annual taxable income (IQD)Band width per monthRate
0 to 250,00020,8333%
250,000 to 500,00020,8335%
500,000 to 1,000,00041,66710%
Over 1,000,000No limit15%

The brackets are annual and apply to income after the social security contribution and allowances are deducted. The bracket limits are very low (1 million dinars a year), so most of a typical private sector salary is taxed at 15%. These figures are confirmed by a secondary source only.

Social insurance rates

ContributionEmployeeEmployerApplies toCap
Workers' social security5%12%Private sector workers covered by the retirement and social security law (secondary source)We found no cap on the insurable wage in the available sources

Worked example

An employee earning 1,000,000 Iraqi dinars a month, 12,000,000 a year:

  1. Income tax: 1,255,000 IQD a year (104,583 a month).
  2. Social security (5%): 600,000 IQD a year (50,000 a month).
  3. Take-home pay = 12,000,000 minus 1,855,000 = 10,145,000 IQD a year, or 845,417 a month.
  • Allowances deducted: 2,500,000 dinars a year, plus the social security contribution.
  • This calculation is for federal Iraq. The Kurdistan Region runs its own taxes and its rules and rates may differ; we have not checked them.
  • The calculator assumes the whole salary is taxable basic pay and does not apply the exemptions for allowances.

Key tax facts about Iraq

Tax year
Calendar year, 1 January to 31 December
Bands
3% up to 250,000 dinars, 5% up to 500,000, 10% up to 1 million, 15% above 1 million (per year)
Allowances
2.5 million dinars for a single person, 4.5 million if married, 200,000 for each child, and an extra 300,000 for anyone over 63
Social security
5% paid by the worker and 12% by the employer in the private sector, and the worker's contribution is deducted from taxable income
How it is collected
Withheld directly from salary each month, and paid over by the employer within the first 15 days of the following month
Year-end settlement
At the end of the year the General Commission for Taxes reconciles the annual tax with the amounts withheld
Corporate tax
15% standard rate, and 35% for foreign oil companies
Kurdistan Region
Runs its own taxes. The calculator applies the rules of federal Iraq

Tax guide to Iraq Living in Iraq in figures Tax authority and filing deadline

Compare Iraq with other countries

Iraq vs Saudi ArabiaIraq vs UAEIraq vs QatarIraq vs KuwaitIraq vs OmanIraq vs Bahrain

Salary questions about Iraq

What is the take-home pay on 1,000,000 Iraqi dinars in Iraq in 2026?

In Iraq, a monthly salary of 1,000,000 Iraqi dinars leaves 845,417 Iraqi dinars take-home after 104,583 income tax and 50,000 social insurance (IQD), or 15.5% of gross pay.

Is there income tax on salaries in Iraq?

Yes. Iraq taxes salaries at 3% to 15% after allowances (2.5 million dinars a year for a single person), with a top rate of 15%. It is usually withheld at source by the employer.

How much social insurance do employees pay in Iraq?

5% social security (private sector). Cap: We found no cap on the insurable wage in the available sources.

How much is deducted from 5,000,000 Iraqi dinars a month in Iraq?

924,583 Iraqi dinars a month (18.5%), leaving 4,075,417 Iraqi dinars. The marginal rate at this salary is 15%, so that share of any raise goes in tax.

Official sources

Every figure in this calculator comes from these sources, last checked on 2 October 2026. We could not reach the official Iraqi sources at the time of checking (the General Commission for Taxes website, the Iraqi legislation database, the Iraqi Official Gazette (Al-Waqai Al-Iraqiya) and the social security department), so the brackets, allowances and social security rates are taken from the PwC summary updated in June 2026, which is a secondary source. We could not confirm whether the Workers' Retirement and Social Security Law No. 18 of 2023 changed the contribution rates (5% and 12%) or added a wage cap, nor whether the federal budget laws since 2023 changed the tax on salaries. The calculator does not apply the exemptions for allowances or the Kurdistan Region's rules. The 15% corporate tax is from the same secondary source. The exchange rate comes directly from the Central Bank of Iraq.

  1. PwC Worldwide Tax Summaries: Iraq, taxes on personal income (secondary source, brackets of 3% to 15%) Secondary source used to cross-check · checked 2 October 2026
  2. PwC Worldwide Tax Summaries: Iraq, deductions (secondary source, allowances and deductibility of social security contributions) Secondary source used to cross-check · checked 2 October 2026
  3. PwC Worldwide Tax Summaries: Iraq, other taxes (secondary source, social security 5% and 12%) Secondary source used to cross-check · checked 2 October 2026
  4. PwC Worldwide Tax Summaries: Iraq, tax administration (secondary source, monthly withholding and payment within 15 days) Secondary source used to cross-check · checked 2 October 2026
  5. Central Bank of Iraq: US dollar rate of 1,310 dinars Official source · checked 2 October 2026

Results are estimates for information only. Your actual pay can differ with your contract, exemptions and family situation. How we calculate.

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