<img alt="" src="https://secure.intelligentcloudforesight.com/779425.png" style="display:none;">
Skip to content

Labor Laws in Iraq

  • Annual Leave: 20 days
  • Maternity Leave: 14 weeks
  • Public Holidays: 13
  • Workweek: 48 hours per week.

Income Tax in Iraq

Income Tax in Iraq is progressive ranging from 3% to 15%.

Value Added Tax (VAT) in Iraq

Iraq has VAT (GST) rates of 300%, 20%, 15% and 10%.

Social Security in Iraq

In Iraq, the social security contributions for employers and employees are structured as follows:

Employer Contributions:

  • For employers outside the oil and gas sector, the contribution rate is 25% of the employee's salary.
  • This 25% employer contribution is divided as follows:
    • 15% for the Retirement Branch
    • 3% for the Work Injuries and Occupational Diseases Branch
    • 3% for the Work Stoppage Assistance Branch
    • 4% for the Health Insurance and Social Services Branch, including maternity benefits
    • For employers in the oil and gas sector, the contribution rate remains at 25% of the employee's salary.

Employee Contributions:

  • Employees contribute 5% of their salary to the Retirement Security Branch.

Government Contribution:

  • The government contributes an additional 8% of the employee's salary and income.

Work Visas Iraq

The work visas available to legally work in Iraq include:

Work Permit Visa

  • Required for foreigners to work in Iraq, except for those working in international offices.
  • Issued for 1 year and must be renewed at least 1 month before expiration.
  • Requires a job offer letter, employer application to Ministry of Labor, and other documents.

Business Visa

  • For individuals visiting Iraq for business purposes, such as attending meetings, conferences, or exploring business opportunities.
  • Usually valid for 30 to 90 days, with single or multiple entry options.
  • Requires an invitation letter from an Iraqi company or organization, along with a valid passport and sometimes proof of previous business dealings.
  • Generally quicker to obtain than a work permit but does not allow for long-term employment.

Hire Iraqi Talent with Global Expansion

Setting up a company in Iraq can be expensive and complex. Global Expansion simplifies your entry into this market.

We handle hiring, HR, and payroll while ensuring compliance with local regulations, all without establishing a local entity.

Our Iraq Employer of Record (EOR) solution lets you focus on your business growth.

Ready to hire anywhere in the world?

Grow your team the right way with
Global Expansion.

Request a Proposal