Headline Tax Rates Around the World

The table of tax rates below provides a comparative view of taxation across the globe. Aspects that are considered include:

  • Income Tax

The income of individuals is often taxed at different rates to the profits of corporations. The nature of taxation can also vary between territorial or residential systems, with territorial systems affecting locally earned incomes, and residential systems affecting the local and foreign incomes of residents.

  • Social Security

Social security contributions are taxes collected from employers and employees, in order to fund social insurance benefits such as state pensions and unemployment benefits.

  • VAT

Value added taxes (or equivalent consumption taxes) are often added to the purchase of goods and services. More than 140 countries collect value added taxes, with the general trend being for this system to replace conventional sales taxes. Approximately 20% of worldwide tax revenue is as a result of VAT.

  • Withholding

Withholding taxes are a form of up-front taxation, taken in advance of the due date for payment of final tax liability. These can often affect dividends, interest, and royalties.

JurisdictionIncome TaxSocial Security*VATWithholding
 CorporateIndividualEmployerEmployee DividendInterestRoyalties
Algeria19%-25%20%-35%26%9%20%15%10%24%
Andorra10%10%0%0%4.5%0%0%0%
Anguilla0%0%5%5%0%0%0%0%
Argentina35%9%-35%23%-27%17%21%0%-35%15%-35%12%-35%
Armenia10%-20%24.4%-36%3%(Regressive)20%10%10%10%
Aruba28%7%-55.85%26.55%9.6%3%0%-10%0%0%
Australia30%29%-45%0%0%10%30%10%30%
Austria25%20.44%-50%21.83%18.2%20%25%0%20%
Azerbaijan20%14%-25%22%3%18%10%10%14%
Bahamas0%0%5.9%3.9%0%0%0%0%
Bahrain0%0%12%11%0%0%0%0%
Bangladesh20%14%-25%0%0%18%20%10%10%
Barbados15%20-35%11.25%10.1%0%0%-15%0%-15%0%-15%
Belgium24.25%-33%25%-50%35%13.07%21%21%-25%21%15%
Belize25%25%5.35%3.18%12.5%15%15%0%
Bermuda0%0%BMD 1667.64 per yearBMD 1667.64 per year0%0%0%0%
Bolivia25%12.5%-13%18.71%12.21%13%12.5%12.5%12.5%
Bosnia10%10%10.5%31%17%0%-5%10%10%
Botswana22% (branches 30%)5%-25%0%0%12%7.5%15%15%
Brazil15%7.5%-27.5%37.3%11%7%-25%0%15%-25%15%-25%
British Virgin Islands0%0%3.25%3.25%0%0%0%0%
Brunei22%0%8.5%8.5%0%0%15%10%
Bulgaria10%10%18.5%12.9%20%5%10%10%
Canada15% (local income tax 1%-16%) (branches 25%)29% (provincial tax 10%-21%) (non-resident tax 7.2%-13.92%)11.7%6.73%5%25%0%-25%0%-25%
Cayman Islands0%0%0%0%0%0%0%0%
Chile20%4%-40%8.62%20%19%35%35%15%-30%
China25%3%-45%30%11%17%10%10%10%
Colombia34%19%-33%4%-6%12%16%0%-33%14%-33%33%
Cook Islands20%20%-30%17%15%15%15%
Costa Rica10%-30%0%-15%26.17%9.17%13%0%-5%0%-15%25%
Croatia20%12-40%15.20%20%25%12%-20%15%-20%15%-20%
Curacao34.5%13%-49.4%15.3%9.35%5%0%35%0%
Cyprus10%20-35%8.5%6.8%18%0%0%5%-10%
Czech Republic19%15%34%11%20%15%-35%15%-35%15%-35%
Denmark25%14.86%0%8%25%15%-27%0%-25%0%-25%
Dominica30%15%-35%7%4.75%15%15%25%25%
Dubai0%0%12.5% (UAE Citizens Only)5% (UAE Citizens Only)0%0%0%0%
Ecuador22%5%-35%11.15%9.45%12%0%-10%0%-22%22%
Egypt25%/40.55%10%-25%16%-17%9.5%0%0%20%20%
El Salvador25%-30%10%-30%9.5%4%13%5%/25%20%/25%20%/25%
Equatorial Guinea35%10%-35% (non-residents 10%)21.5%4.5%15%35% (non-residents 25%)35% (non-residents 25%)10%
Estonia21%21%33%2%20%0%0%-21%0%-10%
Ethiopia30%10%-35%11%7%15%10%5%5%
Faroe Islands18%35%1.87%1.87%25%18%0%0%
Finland20%6.5%-31.75%23%-25%0%24%20%0%/24.5%20%
France33.33%5.5%-45%50%20%20%30%0%33.3%
Georgia15%20%0%0%18%5%5%10%
Germany29.875%14%-45%19.7%20.6%19%25%0%-25%15%
Gibraltar10% (energy and utility companies 20%)5%-28% (gross income-based); 17%-40% (allowance-based)20%10%0%0%0%-10%0%
Greece26%22-42%28%16.5%23%0%33%25%
Grenada30%30%5%4%15%15%15%15%
Guam15%-35%10%-35%7.65%7.65%4%30%30%30%
Guatemala28%5%-7%12.67%4.83%12%5%10%15%
Guernsey0/10%20%6.5%6%0%0%0%0%
Hong Kong16.5%15%5%5%0%0%0%5%-16.5%
Hungary10%-19%16%-20.32%28.5%18.5%27%0%0%0%
India30% (plus surcharge 5% and cess 3%)10%-30% (educational cess 3% of tax)12%12%12.5% (service tax 12.36%)0%20%10%
Indonesia25%5%-30%0%0%10%20%20%20%
Iraq15%15%12%/25%5%0%0%15%0%
Ireland25% (trading income 12.5%)20%-41%10.75%4%23%0%-20%20%0%-20%
Isle of Man0% (banks 10%)20%12.8%13%20%0%0%0%
Israel25%10%-48%6.5%12%17%25%-30%15%-25%25%
Italy27.5%23%-43%30%-34%9%-10%22%1.375%-20%12.5%-20%22.5%
Japan15%-25.5%5.105%-40.84%0%0%8%15.315%-20.315%15.315%-20.42%20.42%
Jersey0/10%20%6.5%6%5%0%0%20%
Kazakhstan20%10%-20%26%0%12%15%/20%15%/20%15%/20%
Kuwait15%0%11.5%8%0%0%/15%0%0%
Labuan25% (offshore trading company 3%; non-trading 0%)26%12.5%11.5%0%0%0%0%
Latvia15%25%24.09%11%21%0%5%-10%5%-15%
Liberia25%0%-25%3%3%7%15%15%15%
Liechtenstein12.5%21%11.55%10.55%8%0%0%0%
Lithuania15%15%32.6%9%21%15%10%10%
Luxembourg20%-29.2%15%-42.8%16.11%13.85%15%15%0%0%
Madeira5%11.5%-46.5%23.75%11%22%20%20%15%
Malaysia20%-25%2%-26%12.5%11.5%0%0%15%10%
Malta35%20-35%10%10%18%0%0%0%
Marshall Islands11.5%8%-12%7%7%2%-4%0%0%0%
Mauritius15% (offshore trading company 3%)15%6%3%15%0%15%0%-15%
Mexico30%1.92%-35%17.7%5.25%16%10%4.9%-40%5%-40%
Monaco33.3%0%6.15%6.15%19.6%0%0%0%
Montenegro9%9%-15%9.8%24%19%9%9%9%
Morocco10%-37%0%-38%6%3%20%15%10%10%
Netherlands20%-25%1.95%-52%5.7%19%19%15%0%0%
New Zealand28%10.5%-33%1.15%1.7%15%0%-30%15%15%
Nigeria30%7%-24%7.5%1%5%10%10%10%
Panama25% (energy, telecommunications, insurance, financial, mining and banking companies 27.5%) (offshore income 0%)15%-25%13.5%10.25%7%5%-20%12.5%12.5%
Poland19%18/32%22.14%13.7%23%19%20%20%
Portugal25%11.5%-46.5%23.75%11%23%25%-30%25%-30%15%-30%
Puerto Rico20%7%-33%7.65%7.65%7%10%29%29%
Qatar10%/35%0%10%5%0%0%7%5%
Ras Al Khaimah0%0%12.5% (UAE Citizens Only)5% (UAE Citizens Only)0%0%0%0%
Romania16%16%28.45%16.5%24%16%16%16%
Russia20%13%30%0%18%15%20%20%
Saint Kitts and Nevis0% (resident companies 35%)0%5%5%0%10%0%10%
Saint Vincent and the Grenadines10%-32.5%10%-32.5%4.5%3.5%15%0%20%20%
Seychelles25-33% (sole traders and partnerships 18.75%-33%)0%1.5%1.5%15%15%0%-33%15%
Singapore17%2%-20%16%20%7%0%15%10%
Slovakia23%19%34.8%13.4%20%0%19%19%
Slovenia17%16%-50%16.1%22.1%20%15%15%15%
South Africa12%/33%18-40%0%0%14%15%0%15%
Spain20-30%24%/45%29.9%6.35%21%21%21%25%
Sweden22%0%-25%31.42%15.49%25%30%0%0%
Switzerland8.5% (partnership and sole proprietor 0%-11.5%) (cantonal and municipal taxes 6%-24%)0%-11.5%5.15%5.15%8%0%-35%0%0%
Turks and Caicos Islands0%0%3%3%0%0%0%0%
United Kingdom20-25%20-50%13.8%12%20%0%20%20%
United States – Delaware15%-39% (qualified personal service corporation 35%)10%-35%7.65%5.65%0%30%30%30%
United States – Nevada15%-39% (qualified personal service corporation 35%)10%-35%7.65%5.65%0%30%30%30%
Vanuatu0%0%4%4%12.5%0%0%0%
Virgin Islands35%10%-35%12.4%12.4%5%10%10%10%

*The social security rates quoted in the table are the highest rates in each jurisdiction.

 

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