Tax Advisory Services, In Depth

In Iraq, corporate income tax is governed primarily by Income Tax Law No. 113 of 1982, as amended by CPA Order No. 49 of 2004, which introduced a flat 15% rate on net profits for most corporate entities. Companies operating in the oil and gas sector under licensing rounds face a higher 35% rate under specific contractual frameworks. Our CIT advisory covers the full lifecycle, from entity registration with the Iraqi tax authority, through annual tax provisioning and filing, to assessment defense and dispute resolution.

For businesses expanding from Iraq to the UAE, we provide cross-border structuring advice that accounts for both jurisdictions' tax regimes. The UAE's Federal Decree-Law No. 47 of 2022 introduced a 9% corporate tax on profits exceeding AED 375,000, with a 0% rate for qualifying free zone persons. We help clients navigate the interaction between Iraqi and UAE tax residency rules, permanent establishment risks, and double-taxation considerations to ensure efficient and compliant cross-border operations.

Our approach combines deep knowledge of Iraqi filing procedures, including the General Commission of Taxes' electronic filing portal, with practical experience in managing tax audits, responding to assessments, and negotiating with tax authorities. We also advise on tax incentives available under the Iraqi Investment Law No. 13 of 2006, which provides tax holidays and exemptions for approved investment projects.