Peru Tax Calculator (2026) — Add or Reverse Tax
Peru charges a 18% IGV, a 29.5% corporate tax rate, and a 30% top personal income tax rate.
How to use this calculator:
- Purchase mode — add IGV to a pre-tax price, or reverse a tax-included total to find the pre-tax price and exact tax paid.
- Profit / salary modes — enter an amount to see the corporate tax owed or a ceiling estimate of personal tax at the top marginal rate.
Understanding Peru's Tax System
Peru levies IGV at a standard rate of 18%. Its statutory corporate income tax rate is 29.5%, above the 23.58% global average. The top personal income tax rate is 30%.
Region
South America
IGV rate
18%
vs. world average corporate rate
+5.9 points above the 23.58% global average
Why Reverse Tax Calculation Matters
Receipts and invoices usually show only the tax-included total, so separating revenue from tax collected — for bookkeeping or cross-border comparisons — means working backward from that total. Dividing by (1 + rate) isn't the same as subtracting the rate, which is why selecting "Reverse" in the purchase-mode calculator above handles it exactly.
History & Context
Peru introduced its IGV (Impuesto General a las Ventas) in August 1991. The 18% total rate is actually a composite of a national IGV component and a separate municipal promotion contribution — a 2026 reform rebalanced that split (cutting the national IGV share while raising the municipal share) without changing the total 18% rate, aimed at boosting fiscal decentralization.
Peru introduced a reduced 8% VAT rate specifically for small hospitality businesses (hotels, restaurants, tourist accommodation) through 2026, rising to 12% in 2027 — a temporary tourism-sector relief measure with a built-in sunset date rather than a permanent carve-out.
Business Use Case
A small hotel in Peru currently charges just 8% IGV instead of the standard 18% under the temporary hospitality relief rate — but must plan for that rate to rise to 12% in 2027, a scheduled increase built into the original 2026 legislation rather than a discretionary future decision.
Real-World Examples
IGV on a purchase
A S/1,000.00 purchase in Peru at 18%:
- Tax: S/1,000.00 × 18% = S/180.00
- Total: S/1,180.00
Corporate tax on profit
S/1,000.00 in company profit in Peru at 29.5%:
- Tax: S/1,000.00 × 29.5% = S/295.00
- After-tax profit: S/705.00
Extracting IGV from a receipt total (reverse)
A receipt shows a S/1,499.00 tax-included total in Peru at 18%:
- Pre-tax price: S/1,499.00 ÷ (1 + 18%) = S/1,270.34
- IGV: S/1,499.00 − S/1,270.34 = S/228.66
Frequently Asked Questions — Peru Taxes
What is the IGV rate in Peru?▾
What is the corporate tax rate in Peru?▾
What is the top personal income tax rate in Peru?▾
How is tax calculated on a purchase in Peru?▾
How do I reverse Peru's IGV to find the price before tax?▾
References & Sources
Methodology: headline VAT/GST and corporate rates are sourced from the OECD Corporate Income Tax Rates Database and Tax Foundation's global rate tables for 2026; figures reflect the national statutory rate and do not include sub-national, sector-specific, or temporary rate variations unless noted in the text above. Tax rates change through national budgets — always confirm current figures with a qualified local tax advisor before making business or relocation decisions.
Rates last verified for 2026. This tool is for estimation and educational purposes only and is not tax, legal, or accounting advice.
Jordan Hayes
Verified AuthorPersonal Finance Content Strategist
Jordan is a personal finance content strategist with 9+ years writing about mortgages, retirement, tax strategy, and budgeting. Every guide is cross-referenced with IRS publications, Federal Reserve data, and CFPB guidance to make complex calculations accessible. Editor at CalculatorApp.me.
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Tax-rate data, review & limitations
Jurisdiction: Peru. Effective date: January 1, 2026. Reviewed by CalculatorApp.me editorial staff on July 26, 2026; next scheduled review: October 26, 2026.
Rates are reference estimates, not tax advice. Local rules, exemptions, filing status, and effective dates can change the amount due.
Primary sources
- OECD Tax Database
- Tax Foundation corporate-tax and VAT datasets
- Applicable national revenue authority guidance