Accounting Software in Iraq
Iraq applies sales tax on select goods and corporate income tax of 15%. VAT is under study.
GulfAccount is built for companies operating across energy services, reconstruction and contracting, telecoms, trade and a large cash-based retail sector. Registration, filing, payroll and document rules are pre-configured for General Commission of Taxes, so your ledger is filing-ready from the first invoice rather than reworked at period end.
Registration, filing and deadlines in Iraq
- Mandatory registration
- No VAT regime; sales tax applies to selected goods and services and businesses register with the General Commission of Taxes on incorporation
- Voluntary registration
- Not applicable
- Filing portal
- General Commission of Taxes offices and the Federal Board of Supreme Audit filings
- Frequency
- Annual corporate income tax return, monthly payroll withholding, and periodic sales tax returns for in-scope activities
- Deadline
- Corporate income tax returns are due by 31 May following the year end; payroll tax is remitted monthly
- Record retention
- Books must be maintained in Arabic and Iraqi dinars and retained for at least 7 years
- Corporate tax
- 15% corporate income tax (35% for oil and gas contractors), payroll tax on a 3%–15% sliding scale, and 3.8% social security equivalent deductions
E-invoicing status
Iraq has no e-invoicing mandate, but the Kurdistan Region and federal ministries increasingly require structured, serially numbered invoices for contract settlement.
Customs duty and a reconstruction levy apply to imports and are recorded in landed cost.
Payroll and banking
Employers withhold payroll tax monthly on a 3%–15% band structure and pay 12% employer social security (25% for oil and gas), while employees contribute 5%. Salary files are produced as Bank salary transfers with monthly payroll tax and social security schedules, and bank statements import from Trade Bank of Iraq, Bank of Baghdad, Rafidain Bank, Byblos Bank Iraq.
Penalties to avoid in Iraq
- Up to 3x the underpaid tax for a materially incorrect return
- 5% of the tax due for each 21 days of delay, doubling after 21 further days
- Disallowance of costs recorded outside Arabic-language statutory books
Confirm current figures with General Commission of Taxes on General Commission of Taxes offices and the Federal Board of Supreme Audit filings before relying on them for a filing decision.
In-depth guides for Iraq
VAT Returns — Iraq
Auto-calculated VAT filings.
Payroll & WPS — Iraq
Run payroll with WPS files.
E-Invoicing — Iraq
ZATCA & FTA e-invoicing ready.
Everything else included for Iraq
Invoicing
Send tax-compliant invoices in seconds.
Quotations
Win deals with polished quotes.
Expense Tracking
Capture every business expense.
Inventory Management
Real-time stock across warehouses.
Financial Reports
P&L, balance sheet, cash flow.
Bank Reconciliation
Match transactions in minutes.
Multi-Currency
Trade in AED, SAR, USD & more.
Project Accounting
Track profitability per project.
Client Management
CRM built for finance teams.
Cities we serve in Iraq
Also serving businesses in Baghdad, Basra, Erbil, Mosul — the same registration thresholds, filing deadlines and invoice rules apply across Iraq.