# Brunei: taxes, residence and cost of living Source: https://domicile.wiki/places/brunei/ (domicile.wiki, researched 2026-10-15). Data licence CC BY-SA 4.0. Research, not tax or legal advice. ## At a glance For an EU-citizen family of five living off a EUR 30M portfolio (the guide's default reader). - Score for a wealthy family: 67 / 100 - Tax on a €30M portfolio: €48,600 a year - Wealth tax: none - Children inherit: tax-free - EU member: no - Currency: BND - Capital: Bandar Seri Begawan ## Tax on investments, inheritance and wealth Brunei has no personal income tax, so there is no tax on capital gains, dividends or interest for individuals. There is also no inheritance, gift or wealth tax and no VAT. Companies pay 18.5%. Brunei has no residence-by-investment programme, foreigners generally cannot own land, and Sharia criminal law applies alongside common law. - **Brunei resident**: No personal income tax, capital gains, dividend, inheritance, gift or wealth tax. ## Inheritance law and trusts For Muslims, who are most residents, Islamic law fixes the heirs' shares and a will can dispose of at most one third. Non-Muslims are believed to have freedom of testation. Brunei has trust law, including an international trusts order, but I found no foundation statute and the Hague Trusts Convention is not in force. ## Daily life (0-100, higher is better) - Political and institutional stability: 73 - Corruption and government integrity: 66 - Legal system and property rights: 54 - Healthcare quality and access: 68 - Education quality: 40 - Human development and quality of life: 67 - Infrastructure and connectivity: 70 - Business opportunities and economy: 82 ## Research notes ### Brunei — family-office tax dossier Last reviewed: 2026-10-15 Tax year: 2026 Reviewer: research agent (Claude), unreviewed by a tax adviser #### Summary Brunei has no personal income tax, so there is no tax on capital gains, dividends or interest for individuals. There is also no inheritance, gift or wealth tax and no VAT. Companies pay 18.5%. Brunei has no residence-by-investment programme, foreigners generally cannot own land, and Sharia criminal law applies alongside common law. US citizens: US citizens remain fully US-taxed; Brunei levies nothing on individuals, so the US layer is the full cost. #### Residence and eligibility Not relevant to individuals (no personal income tax). The Income Tax Act defines a resident individual as one residing in Brunei, including a person present and employed 183 days or more in the preceding year. - **Employment pass, dependant pass, permanent residence** (EU, US, OTHER): No residence-by-investment programme was found; residence is tied to employment or family, and permanent residence is discretionary (not researched in detail). #### Capital gains ##### Brunei resident (`standard`) Brunei does not impose personal income tax on individuals, so there is no tax on individuals' capital gains (PwC). Income tax applies only to companies. - **Tax year / confidence / verification:** 2026 / high / verified (checked 2026-10-15) - **JSON numbers:** headline 0% (0.0); listed domestic 0% (0.0); listed foreign 0% (0.0); private business sale 0% (0.0); local real estate 0% (0.0); foreign real estate 0% (0.0). - **How derived:** No personal income tax; the Income Tax Act applies only to companies (PwC corporate summary). - **Foreign assets:** Not taxed. Foreigners generally cannot own land in Brunei (general knowledge, not verified). #### Dividends ##### Brunei resident (`standard`) No personal income tax, so dividends are untaxed for individuals (PwC). - **Tax year / confidence / verification:** 2026 / high / verified (checked 2026-10-15) - **JSON numbers:** headline 0% (0.0); domestic 0% (0.0); foreign gross 0% (0.0); foreign tax relief: not_applicable. - **How derived:** No personal income tax. - **Outbound withholding:** No WHT on dividends (general knowledge, not verified). - **Treaty network:** Around 20 DTAs (e.g. UK, Singapore, China, Japan, Hong Kong); no treaty with the US (not verified). US dividends bear 30% US WHT. - **Holding companies:** Companies pay 18.5% CIT on income accruing in or derived from Brunei. #### Inheritance and gifts to children ##### Brunei resident (`standard`) No inheritance, estate or gift taxes (PwC). - **Tax year / confidence / verification:** 2026 / high / verified (checked 2026-10-15) - **JSON numbers:** basis `none`, children `fully_exempt`, scope `worldwide`, exemption 0 BND, brackets (marginal): none; other transfer costs 0% (0.0); deemed disposal 0% (0). - **Gifts:** None. (same as inheritance: True; tax-free after years: None) - **Foreign assets:** No tax. - **Residence/domicile rules:** Not applicable. Islamic inheritance rules may govern succession for Muslims (not researched). - **Business relief covers listed shares:** False #### Wealth tax ##### Brunei resident (`standard`) No net wealth tax (PwC). - **Tax year / confidence / verification:** 2026 / high / verified (checked 2026-10-15) - **JSON type:** `none` - **Property tax (not a wealth tax):** Municipal property assessment rates on buildings (see PwC corporate other taxes; not opened). Stamp duty on some instruments. #### Special regimes None modelled; see Residence and eligibility. #### Company taxation (kept separate from personal tax) Headline CIT rate: 18.5% (0.185). 18.5% CIT on income accruing in or derived from Brunei; partial exemption on the first BND 250,000; companies with turnover up to BND 1 million exempt; petroleum income 55%. #### Cost of living notes Not researched in this pass (no quickly verifiable sources). #### Open questions - Treaty count and residence routes not verified. #### Sources - Brunei Darussalam - Individual - Taxes on personal income (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/individual/taxes-on-personal-income - Brunei Darussalam - Individual - Income determination (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/individual/income-determination - Brunei Darussalam - Corporate - Taxes on corporate income (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/corporate/taxes-on-corporate-income - Brunei Darussalam - Individual - Foreign tax relief and tax treaties (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/individual/foreign-tax-relief-and-tax-treaties - Brunei Darussalam - Individual - Other taxes (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/individual/other-taxes - Brunei Darussalam - Individual - Residence (PwC Worldwide Tax Summaries, professional): https://taxsummaries.pwc.com/brunei-darussalam/individual/residence #### Change log - 2026-10-15: initial research. ## Residence and succession sources - [HCCH status table: Convention of 1 July 1985 on the Law Applicable to Trusts and on their Recognition](https://www.hcch.net/en/instruments/conventions/status-table/?cid=59) — Hague Conference on Private International Law - [Brunei Attorney General's Chambers: laws of Brunei](https://www.agc.gov.bn/) — Attorney General's Chambers, Brunei - [Muslim wills in Malaysia: one-third limit (analogy for the Sharia rule)](https://www.cljlaw.com/store/product/islamic-law-of-succession-a-practical-guide-to-the-law-of-faraid-volume-3/) — CLJ Law