All foreign companies that operate in Iran are subject to taxation. All taxation on companies doing business within the country are subject to a corporate tax of 25 per cent payable on all profits made. This taxation superseded the previous 10 per cent. Once this tax has been paid by the company no more taxes applies to shareholders.

Tax levels vary for foreign direct investment into the country dependent on the activity and industry entered into. Products that are already produced and supplied domestically are subject to the highest tax threshold and will be affected through profit tax, income tax and property tax. With the 25 per cent tax in place on corporate earnings, there is a tax rate of five to 7.5 per cent for license holding.