News Share

The Tax Hub

Daily Tax Newsletter

Papua N Guinea

8 July 2021

Responsive image

Papua New Guinea Launches Small Business Tax for Individuals

The Papua New Guinea Internal Revenue Commission (IRC) launched the Small Business Tax (SBT) regime for individuals on 4 June 2021. Provisions for the SBT regime were first introduced in 2019 and subsequently revised with additional provisions as part of the Income Tax (2021 Budget) (Amendment) Act 2020.

Under the SBT regime, qualifying sole trader businesses are subject to SBT with different rates and timing depending on whether they are categorized as a micro or small business:

  • a business with annual turnover of less than PGK 60,000 is categorized as a micro-business and liable to pay a fixed tax amount of PGK 250.00 per year; and
  • a business with an annual turnover of more than PGK 60,000 and less than PGK 250,000 is defined as a small business and is liable to pay business tax of PGK 62.50 plus 2.0% of turnover above PGK 15,000 per quarter;

Where annual turnover exceeds PGK 250,000, the SBT regime may not be applied. Further, the SBT regime may not be applied for professional services, such as dental, legal, account, etc., and may not be applied by individuals registered or required to be registered for GST.

Additional information on the SBT regime is available on the IRC's SBT webpage, including application and return forms.

Powerful Tax Tools


FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.


Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.


Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.


Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.


Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.



Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.


Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.


Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.


Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.


Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.


Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.


Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.


VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.


NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.


Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.


Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More