Top 10 Tax Friendly Countries in the World 2025
If filing taxes and returns are burdening you and you are thinking of relocating to a new country, then here are the best options. A Tax Haven country is basically any which offers low tax on major sectors like income tax, corporate tax, capital gains and inherited tax.
Some low tax countries lack transparencies raising red flags in the International Revenue Service (IRS), if not properly managed. Many benefits might surface from relocating to a tax free country depending on the revenue profile, citizenship, and ongoing tax obligations. Here are the Top 10 Low Tax countries from UAE to Bahamas that provide an array of opportunities for expats and other business visionaries to relocate, tempting few to no tax in their country.
Top 10 Tax Friendly Countries in 2025
| Rank | Country | Key Tax Advantages | Notes / Highlights |
| 1 | United Arab Emirates (UAE) | – 0% personal income tax – 0% capital gains tax – 9% corporate tax (above threshold) | World-class infrastructure, residency through investment or employment |
| 2 | Monaco | – No personal income tax – No wealth, capital gains, or inheritance tax | Exclusive European location; high cost of living and strict residency requirements |
| 3 | Cayman Islands | – No personal income or corporate tax – No capital gains or inheritance tax | Popular offshore financial hub; expensive to obtain residency |
| 4 | Bahamas | – No income, capital gains, or inheritance tax – No corporate tax | Relies on VAT and import duties; attractive for HNWIs and retirees |
| 5 | Qatar | – 0% income tax – No capital gains tax for individuals | Generous expat packages; growing infrastructure and services |
| 6 | Saudi Arabia | – 0% income tax – Zakat only for citizens – No capital gains tax | Oil-driven economy; modernizing under Vision 2030 |
| 7 | Bahrain | – No personal income tax – Low business costs | Corporate tax only for oil and gas sector; strong expat presence |
| 8 | Kuwait | – No income or capital gains tax | Government-subsidized services; no tax for individuals |
| 9 | Oman | – No personal income tax (as of 2025) – Flat VAT rate | Low cost of living; income tax planned for future (possibly post-2026) |
| 10 | Singapore | – No capital gains or inheritance tax – Competitive income tax (max 22%) | Global business hub; efficient tax system and ease of doing business |
