Corporate income tax calculator Bhutan
Companies in Bhutan pay a flat 22% on taxable income, and a body of persons pays 22%. A trust pays 30%. These rates have applied since January 1, 2026, under Schedule 1 of the Income Tax Act of Bhutan 2025.
A sole proprietor or a partner is not in this group: that income goes on the personal bands.
How it's calculated
- Choose the entity. Multiply taxable income by its rate.
- There are no bands and no tax-free slice. The first ngultrum of profit pays the same rate as the last.
- Enter income after the deductions the Act allows. The calculator does not work out those deductions.
An example
A company in Phuentsholing has a taxable income of Nu. 1,000,000. At 22 % the tax is Nu. 220,000, which leaves Nu. 780,000. A trust with the same income pays 30 %, or Nu. 300,000.
Frequently asked questions
What is the corporate tax rate in Bhutan?
22% of taxable income, for all companies registered under the applicable laws (Schedule 1, paragraph 4, and the notification of the Department of Revenue and Customs of 16 December 2025).
What is a body of persons?
The notification describes it as a non-individual entity other than a company. It pays 22%.
What about foreign businesses selling into Bhutan?
A non-resident with a significant economic presence can choose between 22 % on a return and 5 % of turnover, according to the same notification. This calculator does not cover that option.
Key terms
- Taxable income
- Income less the deductions the Act allows.
- Trust
- An arrangement holding assets for others. It pays the higher flat rate, registered or not.
- Sole proprietor
- One person who owns a business. The income is taxed on the personal bands.
Up-to-date official data
Data checked against the official source on .
We check the official sources automatically, every day.
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