Tax on property income in Libya
July 19, 2017
Effective Tax Rate on Rental Income
|Click here to see a worked example|
Global Property Guide research
Nonresidents are taxed on their Libyan-sourced income. Married couples are taxed separately.
Different income tax rates apply depending on the source of income.
Income from commercial activities is taxed at a flat rate of 15%.
Employment income is taxed at progressive rates.
|TAX BASE, LYD(US$)||TAX RATE|
|Up to 12,000 (US$8,571)||5%|
|Over 12,000 (US$8,571)||10% on income over US$8,751|
|Source: Global Property Guide|
Tax jihad is levied on the taxable income of individuals at 4%.
Rental income earned by nonresidents is taxed at a flat rate of 15%.
Capital gains are treated as ordinary income and are taxed at a flat rate of 15%.
PROPERTY TAXATIONThere are no property taxes in Libya.
Income and capital gains earned by companies are taxed in Libya. Income-generating expenses are deductible when calculating taxable income. Corporate income tax is levied at a flat rate of 20%.
Tax jihad is levied on companies at 4% on the taxable income.