INDIVIDUAL TAXATION

Nonresidents pay tax only on Lebanese-sourced income and capital gains. Married couples are taxed separately.

INCOME TAX

There are three categories of income in Lebanon and each category is taxed separately: business income, employment income, and income from movable capital.

RENTAL INCOME
Rental income is taxed at progressive rates. Income-generating expenses are all deductible when computing for the taxable income. Deductible expenses include depreciation costs (depreciation of the building is deductible up to 5% of the rent), expenses incurred by the landlord such as management costs and charges (up to 5% of the rent) and maintenance costs.

REAL ESTATE TAX
TAX BASE, LBP (US$)	TAX RATE
Up to 20 million (US$13,245)	4%
20 million - 40 million (US$26,490)	6%
40 million - 60 million (US$39,735)	8 %
60 million - 100 million (US$66,225)	11%
Over 100 million (US$66,225)	14%
Source: Global Property Guide

CAPITAL GAINS TAX
Capital gains tax is levied at a flat rate of 10%. Acquisition costs and improvement costs are deductible when calculating taxable gains.

PROPERTY TAX

CORPORATE TAXATION

INCOME TAX

Income and capital gains realized by corporations are taxed at a flat rate of 17%. Income-generating expenses are all deductible from the gross income.

CAPITAL GAINS TAX

Capital gains realized by companies are taxed at a flat rate of 15%. Acquisition costs and improvement costs are deductible when calculating taxable gains.