A worldwide report on taxation of businesses has put Vanuatu at the top of a list of 178 countries.
The study by the World Bank and the firm PricewaterhouseCoopers found that at 7.8 percent Vanuatu's tax rate is the lowest.
Vanuatu was followed by the Maldives and several other mainly Asian countries, such as Singapore and the United Arab Emirates.
The most complicated tax systems were found in Belarus and Ukraine.
In the ranking of countries according to the total tax take, Vanuatu also came out on top followed by the Maldives and several Middle Eastern countries.
The US was rated in 102nd place.
