Asia-Pacific · Tax guide
Micronesia
The Federated States of Micronesia uses the US dollar and has no corporate income tax at national level. Businesses pay a gross revenue tax of 3% instead, and each state charges its own sales tax. Taxes are administered by the Department of Finance and Administration.
At a glance
- Gross revenue tax
- 3%
- Sales tax
- By state
- Withholding on payments abroad
- 0%
National, on business receipts
Pohnpei, Chuuk, Kosrae, Yap
None
Gross revenue tax
Businesses pay a national gross revenue tax of 3% on receipts, filed quarterly. There is no national tax on company profits.
State sales taxes
Each of the four states, Pohnpei, Chuuk, Kosrae and Yap, sets its own sales tax and business licence rules. Check the rules of the state where you trade.
Key dates
- QuarterlyGross revenue tax return
Figures and sources
2 figures- Corporate income tax rate3%Under professional review
- Withholding on payments to non-residents0%Under professional review
Indicative only. This assessment is a high-level overview of tax obligations in Micronesia based on the information you provided and rules in force for 2026. It is not tax or legal advice. Consult a qualified tax adviser in Micronesia (a tax adviser in Micronesia) before making compliance decisions.