Papua New Guinea Corporate Income Tax

Corporate tax rates

• Corporate tax rates overview — Resident companies are taxed at a flat 30% on trading profits. Non-resident companies operating through a branch face the same 30% plus a branch remittance tax. Commercial banks and certain resource projects have special rates. (Income Tax Act)
• Resident company tax rate — 30% % (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/taxes-on-corporate-income)
• Non-resident company (branch) rate — 30% on attributable profits, plus a 15% branch remittance tax on repatriated profits (combined effective rate approximately 40.5%) % (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/taxes-on-corporate-income)
• Commercial bank rate — 35% on taxable income below PGK 300 million; above that, an additional levy applies that reduces progressively from 43% toward 35% year-by-year through to 2034 % (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/taxes-on-corporate-income)
• Overseas shippers (non-resident transport) — 2.4% of gross income derived from PNG % (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/taxes-on-corporate-income)
• Mining / petroleum / gas project rate — Resource projects are taxed under special regimes; mining is generally 30% and petroleum/gas project rates vary by project agreement % (approx — confirm rate per the specific resource project agreement and current rate schedule) (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/taxes-on-corporate-income)

Tax base, withholding taxes and administration

• Tax base and administration overview — The tax base is worldwide income for resident companies, less allowable deductions. PNG levies withholding taxes on dividends, interest and royalties paid to non-residents. Companies file annually following the calendar year. (Income Tax Act)
• Corporate tax base — Resident companies are taxed on worldwide income less allowable deductions; non-resident companies on PNG-source income (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/income-determination)
• Withholding / non-resident tax on dividends — 15% (standard); 30% on dividends paid by a non-profit or former non-profit body out of exempt income % (Streamlined non-resident tax (NRT) regime effective 1 January 2026; treaty relief may reduce the rate) (Income Tax (Dividend Withholding Tax) provisions — https://taxsummaries.pwc.com/papua-new-guinea/corporate/withholding-taxes)
• Withholding / non-resident tax on interest — 15% % (Treaty relief (often 10%) may apply) (Income Tax (Interest Withholding Tax) provisions — https://taxsummaries.pwc.com/papua-new-guinea/corporate/withholding-taxes)
• Withholding / non-resident tax on royalties — 10% (non-associate recipient); 30% (associate recipient) % (Treaty relief (often 10%) may apply) (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/withholding-taxes)
• Treaty dividend cap — PNG's tax treaties generally cap dividend withholding at 15% (PNG Double Taxation Agreements — https://taxsummaries.pwc.com/papua-new-guinea/corporate/withholding-taxes)
• Corporate tax year — Calendar year (1 January to 31 December); substituted accounting periods require IRC approval (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/tax-administration)
• Corporate return deadline — 28 February following the year of income (extended to 30 June where lodged by a registered tax agent) (approx — confirm against current IRC lodgment program) (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/tax-administration)
• Corporate tax payment — Companies pay provisional tax in instalments; balance of assessed tax due within 30 days of service of the assessment notice (Income Tax Act — https://taxsummaries.pwc.com/papua-new-guinea/corporate/tax-administration)