Laos

{"ftc_utility":"medium","fbar_trigger_notes":"Expats working legally in Laos are typically paid through local Lao entities or foreign payroll. A Lao bank account (LAK-denominated) is commonly required for local salary receipt. If aggregate balance across all foreign accounts exceeds USD 10,000 at any point during the year, FBAR filing (FinCEN 114) is required. Lao kip accounts at major banks such as BCEL and LDB are the typical accounts triggering this threshold.","ftc_utility_reason":"Laos taxes residents on worldwide income at rates up to 25%, which is below the US top marginal rate. FTC can offset Lao taxes paid against US liability, but the lower Lao rates mean residual US tax may still apply for higher earners. FEIE is generally more efficient for most expats earning under the exclusion limit.","presence_day_count_notes":"Laos issues business visas and long-stay visas that require renewal, often via border runs or extensions through the immigration department. Most expats operate on repeated 30-60 day business visa extensions or investor visas. Maintaining 330 days of physical presence within a 12-month period is achievable but requires careful visa management. Overstay fines are low but presence tracking is important for FEIE purposes.","typical_qualifying_method":"either","housing_exclusion_available":true,"physical_presence_test_applies":true,"estimated_housing_exclusion_usd":18000,"local_tax_rate_on_earned_income":0.25,"bona_fide_residence_test_applies":true}

{"pension_income":{"notes":"Foreign pension income is included in worldwide income for Lao tax residents and taxed at progressive PIT rates up to 25%. No specific pension exemption exists under Lao law.","tax_rate":0.25,"locally_taxed":true},"social_security":{"notes":"No totalization agreement or tax treaty between the US and Laos. US Social Security benefits received by a Laos tax resident are theoretically subject to Lao PIT as foreign income. No treaty provision exempts or reduces taxation.","locally_taxed":true,"treaty_protection":false},"roth_distributions":{"notes":"No treaty exists to shelter Roth distributions. Laos does not recognize the Roth structure. Distributions could be treated as income by Lao tax authorities, though in practice enforcement on foreign pension income for expats is limited. US tax treatment (tax-free) is not mirrored locally.","locally_taxed":true},"us_401k_ira_distributions":{"notes":"No US-Laos income tax treaty exists. Distributions from US 401(k) or IRA accounts received by a Laos tax resident are treated as foreign-source income. Laos taxes residents on worldwide income, so these distributions are subject to PIT at progressive rates up to 25%. No treaty protection or reduced rate applies.","tax_rate":0.25,"locally_taxed":true,"treaty_protection":false}}

{"rate":0.25,"notes":"Laos does not have a standalone capital gains tax. Gains are generally folded into income and taxed at the top personal income tax rate of 25%, or subject to specific withholding rates depending on asset type.","details":{"tax_type":"Capital Gains Tax","country_name":"Laos","country_iso_code":"LAO","source_references":["PwC Worldwide Tax Summaries - Lao PDR","DFDL Laos Tax Guide","Lao Tax Law 2019"],"last_verified_date":"2026-06-03","general_description":"No separate capital gains regime exists. Gains on asset disposals are treated as taxable income. Property transfers are typically subject to a 2% transfer tax on the assessed value. Securities gains may be subject to a 10% withholding tax.","corporate_capital_gains":{"rate":0.24,"tax_treatment":"Taxed as ordinary corporate income at the standard CIT rate of 24%."},"individual_capital_gains":{"rate":0.25,"tax_treatment":"No separate CGT. Gains included in taxable income subject to progressive PIT up to 25%. Property transfers attract a 2% transfer tax on assessed value. Listed securities gains subject to 10% withholding."}}}

{"notes":"Dividends paid to individuals resident in Laos are subject to a 10% withholding tax. This is a final withholding tax and no further PIT applies on the dividend income. There is no US-Laos tax treaty, so US persons receive no treaty reduction.","rates":[{"rate":0.1,"type":"withholding","notes":"Final withholding tax on dividends paid to individuals. Applies to both residents and non-residents. No treaty reduction available for US persons."}]}