Macau Tax Guide 2026: Salaries Tax, Complementary Tax and Why There Is No VAT

The big picture: a territorial, low-rate system

Macau taxes income sourced in Macau. There is no worldwide taxation of individuals, no VAT or sales tax of any kind, and no separate capital gains tax. The main taxes are:

Because the government collects the bulk of its revenue from gaming, ordinary residents and small businesses face very light taxation — and each year's Budget Law typically adds generous relief on top.

Salaries tax (職業稅): who pays and how much

Salaries tax applies to anyone working in Macau, whether employed or self-employed, resident or non-resident. Employers withhold it at source when an employee's monthly income exceeds MOP 16,000 (or MOP 640 per day for part-timers) and remit it quarterly; the annual assessment then settles the final bill.

For the 2026 fiscal year, the Budget Law (Law No. 13/2025) sets a 30% deduction off the tax payable and an exemption of MOP 144,000 (raised to MOP 198,000 for workers aged 65 and above or with a certified disability of 60% or more). The progressive brackets apply to income above the exemption:

Each rate applies only to the slice of income inside its band. Worked example — MOP 300,000 of annual employment income in 2026:

• First MOP 144,000: exempt → MOP 0
• MOP 144,001–164,000 (20,000 × 7%) → MOP 1,400
• MOP 164,001–184,000 (20,000 × 8%) → MOP 1,600
• MOP 184,001–224,000 (40,000 × 9%) → MOP 3,600
• MOP 224,001–300,000 (76,000 × 10%) → MOP 7,600
• Subtotal: MOP 14,200; less 30% annual deduction → MOP 9,940 payable

That is an effective rate of about 3.3% on a MOP 300,000 salary.

2026 relief measures: the annual bonus round

Macau's Budget Law re-sets tax relief every year, so always confirm the current year's package. For 2026 (Law No. 13/2025):

• Salaries tax: 30% reduction of tax payable; MOP 144,000 exemption (MOP 198,000 for seniors/disabled workers).
• Refund of 2024 salaries tax: MSAR resident ID holders who fully paid their 2024 salaries tax receive a 60% refund, capped at MOP 14,000 (paid out from May 2025, totalling about MOP 1.04 billion).
• Complementary tax: the MOP 600,000 exemption (see below) applies to 2025 profits.

These reliefs are voted annually and can change or lapse — never assume last year's package carries over.

Complementary tax (所得補充稅): the 12% business tax

Complementary tax is Macau's corporate/profits tax, levied on commercial and industrial profits. The statutory scale is progressive — 3% to 9% on taxable profits between MOP 32,001 and MOP 300,000, and 12% above MOP 300,000 — but the annual Budget relief has for years replaced the lower bands with a single large exemption: for the 2025 tax year (filed in 2026), the first MOP 600,000 of taxable profit is exempt and only the excess is taxed at 12% (per Article 22 of Law No. 13/2025).

Worked example — MOP 1,000,000 of taxable profit: (1,000,000 − 600,000) × 12% = MOP 48,000, an effective rate of 4.8%.

Practical points:

• Group A vs Group B: larger taxpayers (e.g. companies with capital of MOP 1 million+, or average taxable profit of MOP 1 million+ over three years) are assessed on audited accounts (Group A); smaller businesses are assessed on estimated profits (Group B).
• Filing: Group B returns (and uncertified Group A returns) are due 31 March of the following year; certified Group A returns get until 30 June.
• Payment: tax of MOP 3,000 or less is paid in one instalment in September; larger amounts are split between September and November.
• Exemptions also apply to income from Portuguese-speaking countries (if already taxed there) and to interest/trading gains on Macau-issued debt securities.

Gaming tax in brief

Casino gaming is Macau's fiscal engine. Under the six 10-year concessions running 2023–2032, operators pay:

• 35% special gaming tax on gross gaming revenue (GGR)
• 2% cultural/social contribution
• 3% tourism promotion, urban development and social security contribution

That is an effective 40% on GGR, paid monthly. GGR from foreign patrons (outside mainland China, Hong Kong, Macau and Taiwan) can qualify for up to a 5 percentage-point reduction. Separately, the Chief Executive has exempted concessionaires from complementary tax on gaming profits through 2027. Gaming taxes fund roughly three-quarters of government revenue — which is precisely why everyone else's taxes stay so low.

What Macau does not tax

Worth stating plainly: Macau has no VAT, no goods-and-services tax, no capital gains tax, no dividend withholding tax, no inheritance or gift tax, and no foreign-exchange controls. Dividends, interest and royalties paid out of Macau currently face no withholding tax at all.

Next steps

1. Employees: check your monthly payslip — withholding only kicks in above MOP 16,000/month, and the annual assessment reconciles everything against the MOP 144,000 exemption.
2. Business owners: confirm whether you are Group A or B, diary the 31 March / 30 June filing deadlines, and budget September/November instalments.
3. Everyone: re-check the Budget Law relief package each year — the 30% salaries-tax deduction, the MOP 600,000 profits exemption and the refund schemes are annual votes, not permanent law.
4. Cross-border workers: if you earn income in both Macau and mainland China, read the companion guide on Macau cross-border taxation before assuming where each dollar is taxed.