DoubleTaxationTaxes on salary: Ecuador preliminary data
How much income tax and social contributions are paid on a salary in Ecuador, what a sole proprietor and a company pay, and which special regimes exist. Preliminary data.
Preliminary data: headline rates from official sources and bulletins of international organisations, without reliefs or special rules; being refined.
Calculation for a gross salary of €60,000 per year
| Gross salary | US$70,326 ≈ €60,000 |
|---|---|
| Income tax | US$9,326 ≈ €7,956 |
| Employee contributions | US$6,646 ≈ €5,670 |
| Take-home pay | US$54,355 ≈ €46,374 |
| Employer contributions and payroll taxes | US$7,841 ≈ €6,690 |
| Employer's labour cost | US$78,167 ≈ €66,690 |
Only some of the country's direct taxes and levies are counted: income tax on wages and compulsory contributions. Not counted: property and real-estate taxes; taxes on dividends, interest and other investment income; inheritance and gift taxes; indirect taxes such as VAT, excise and customs duties.
Taxes for sole proprietors and companies
Tax and contributions on the profit for a year; expenses are 10% of revenue, the company pays its profit out to the owner. Reliefs and local taxes are not included.
| Annual revenue | €30,000 US$35,163 | €60,000 US$70,326 | €120,000 US$140,652 |
|---|---|---|---|
| Sole proprietor | US$7,901 25.0 % | US$20,704 32.7 % | US$53,714 42.4 % |
| Company | US$7,912 25.0 % | US$15,823 25.0 % | US$31,647 25.0 % |
| Sole proprietor · RIMPE — Negocio Popular: up to USD 2,500 | above the regime's limit | above the regime's limit | above the regime's limit |
| Sole proprietor · RIMPE — Negocio Popular: USD 2,500.01-5,000 | above the regime's limit | above the regime's limit | above the regime's limit |
| Sole proprietor · RIMPE — Negocio Popular: USD 5,000.01-10,000 | above the regime's limit | above the regime's limit | above the regime's limit |
| Sole proprietor · RIMPE — Negocio Popular: USD 10,000.01-15,000 | above the regime's limit | above the regime's limit | above the regime's limit |
| Sole proprietor · RIMPE — Negocio Popular: USD 15,000.01-20,000 | above the regime's limit | above the regime's limit | above the regime's limit |
| Sole proprietor · RIMPE — Emprendedor | US$212 0.7 % | US$614 1.0 % | US$1,759 1.4 % |
Special tax regimes
There are no special regimes for individuals.
Tax residence
The tax residence check does not cover Ecuador yet.
Assumptions
- Calculated with the OECD Taxing Wages methodology: income tax including local taxes plus employee social security; single person without children, tax year 2026, ECB rate of 2 January 2026.
- Exchange rate: 1 EUR = 1.1721 USD (Official currency is the US dollar (dollarised economy), 02/01/2026) ↗
Sources
- SRI — Tablas de cálculo de Impuesto a la Renta (2026 table, Resolución NAC-DGERCGC25-00000043, 2nd Suppl. RO 194 of 30 Dec 2025)
- IESS — Tasas de aportación
- US SSA — Social Security Programs Throughout the World: The Americas, 2019 — Ecuador
- SRI — Impuesto a la Renta (CIT rate 25% and adjustments)
- SRI — Régimen Simplificado para Emprendedores y Negocios Populares (RIMPE)
- SRI — Ley de Régimen Tributario Interno (art. 17: employment base = income minus personal IESS contributions)
Data checked: 08/11/2026. An indicative calculation for a typical case. Not tax advice.