Chile Personal Income Tax
Detailed personal income tax rates and rules for Chile in 2026.
Chile imposes a progressive personal income tax (Impuesto Global Complementario or IGC) with eight brackets ranging from 0% to 40%. The first bracket (up to 13.5 UTA) is exempt. Employees are also subject to a second-category tax (Impuesto Único de Segunda Categoría) that is withheld at source using the same bracket structure on a monthly basis. Residents are taxed on worldwide income, with foreign tax credits available. Key deductions include pension contributions (mandatory 10% of income plus commissions), health insurance contributions, mortgage interest (with limits), and approved savings instruments (APV). The system integrates corporate and personal taxation through a credit mechanism.
| Income Range (CLP) | Tax Rate |
|---|---|
| CL$0 – CL$8.8M | 0% |
| CL$8.8M – CL$19.5M | 4% |
| CL$19.5M – CL$32.5M | 8% |
| CL$32.5M – CL$45.5M | 13.5% |
| CL$45.5M – CL$58.5M | 23% |
| CL$58.5M – CL$78.0M | 30.4% |
| CL$78.0M – CL$201.5M | 35% |
| CL$201.5M+ | 40% |
Filing Deadline
April 30
Residency Rule
Chile considers individuals as tax residents if they are domiciled in Chile or have been present in Chile for more than 183 days within any 12-month period. Foreign individuals who become residents in Chile for the first time may benefit from a 3-year exemption on foreign-source income (extendable to 6 years for certain investment-related activities). After this period, residents are taxed on worldwide income.
How Chile Income Tax compares
Chile’s top personal income tax rate of 40% is the 33rd highest of 203 countries TaxAtlas tracks, above the global average of 27.7% and South America’s regional average of 30.5%.
