TAXATION BY COUNTRY


TAXATION BY COUNTRY


The "Taxation Indicator" is a combination of six sub-indicators, namely the incidence of six types of taxation:

Top Income Tax Rate - This may be the top rate of a progressive income tax system (e.g., in the US) or a flat tax rate in countries with a flat income tax system (e.g., in Estonia). Information on whether a country uses a progressive or flat tax system is available on the individual country profile pages.

Top Corporate Tax Rate - With few exceptions, most countries use a flat corporate tax system. In some countries (especially in the Middle East), firms operating in certain industries (mostly in the petroleum industry) face special corporate tax rates. These are often significantly higher than the "highest standard rate" shown in this index.

Top Capital Gains Tax Rate - Besides the top capital gains tax shown in this index, some countries offer discounted rates on gains realized after a 12+ month ownership of an asset. Please see individual country profile pages for details.

Top Value Added Tax - A measure of the standard value added tax / sales tax in a country. In addition to the standard rate used in this index, most countries use discounted rates for necessities (such as food and medical equipment) and higher rates for luxury goods.

(Simple) Average (Applied) Most-Favored-Nation Tariff - A measure of the average tariff rate enjoyed by the most favored trading partner of a country. For example, when



France charges an average tariff of 5.48% on goods and services bought from the UK, but a higher rate for goods and services bought from Iran, "5.48%" represents the (simple) average (applied) most-favored-nation tariff of France.

Top Inheritance Tax Rate - The rate shown represents the highest possible inheritance tax rate in a country. For many countries (with Syria being an extreme example), there are heavily discounted tax rates for inheritances received by direct descendants / close relatives.

The higher the overall "Tax Score," the lower the overall incidence of taxation in a country.


MAP OF COUNTRIES BY TAX INCIDENCE


TAXATION
RANKING SCORE COUNTRY TOP INCOME TAX RATE TOP CORPORATE TAX RATE TOP CAPITAL GAINS TAX TOP VALUE ADDED TAX AVE. MOST-FAVORED-NATION TARIFF TOP INHERITANCE TAX SOURCES
1 0.85 Bahamas 0 0 0 0 35.9 0 1, 2
2 0.85 Bahrain 0 0 0 0 5 0 1, 2
3 0.85 United Arab Emirates 0 0 0 0 4.71 0 1, 2
4 0.82 Oman 0 12 0 0 4.74 0 1, 2
5 0.82 Qatar 0 10 0 0 4.71 0 1, 2
6 0.81 Kuwait 0 15 0 0 4.66 0 1, 2
7 0.81 Nauru 0 0 0 7 N/A 0 30, 31
8 0.79 Brunei 0 20 0 0 2.51 3 1, 2
9 0.78 Vanuatu 0 0 0 12.5 9.11 0 3, 8, 10
10 0.77 Andorra 0 10 15 4.5 N/A 0 1
11 0.76 Macau 12 12 0 0 0 5 1, 2
12 0.73 Libya 13 20 0 0 0 0 1, 2
13 0.73 Maldives 0 15 0 6 20.47 N/A 2, 3, 8
14 0.73 Palau 12 0 0 7.5 4.08 N/A 9
15 0.72 Hong Kong 17 16.5 0 0 0 0 1, 2
16 0.72 Micronesia 10 3 N/A 5 4.5 N/A 3, 8
17 0.69 Iraq 15 15 15 0 N/A 0 1, 2
18 0.69 Paraguay 10 10 10 10 10.13 0 1, 2
19 0.68 Yemen 15 20 0 5 7.47 0 1
20 0.67 Marshall Islands 10 3 N/A 10 N/A N/A 3, 7, 29
21 0.66 Montenegro 9 9 9 19 4.3 3 1, 2
22 0.66 Singapore 20 17 0 7 0.2 0 1, 2
23 0.65 Afghanistan 20 20 20 0 5.89 0 2, 3, 4, 5, 12
24 0.65 Bosnia and Herzegovina 10 10 10 17 6.6 10 1
25 0.65 Kazakhstan 10 20 10 12 9.5 0 1, 2
26 0.65 Kosovo 10 10 10 16 N/A 0 26
27 0.65 Macedonia 10 10 7 18 6.93 5 1, 2
28 0.65 Mongolia 10 25 10 10 4.97 0 1
29 0.65 Saudi Arabia 20 20 20 0 5.14 0 1, 2
30 0.65 South Sudan 15 20 15 5 N/A 0 1
31 0.65 St. Kitts and Nevis 0 33 0 17 10.25 0 1
32 0.64 Bulgaria 10 10 10 20 5.48 6.6 1, 2
33 0.64 Jordan 14 14 0 16 10.89 0 1, 2
34 0.64 Kyrgistan 10 10 10 20 4.59 0 1
35 0.64 Turkmenistan 10 20 0 15 N/A 0 1
36 0.63 Monaco 0 33.33 0 20 N/A 0 3, 7, 10
37 0.62 Liechtenstein 21 12.5 21 8 6.53 0 1, 2
38 0.62 Mauritius 15 15 0 15 1.06 45 1, 2
39 0.60 Belarus 12 18 12 20 9.68 0 1, 2
40 0.60 Lebanon 20 15 10 10 6.3 45 1, 2
41 0.60 Syria 22 22 22 0 14.2 75 1
42 0.59 Bolivia 13 25 13 13 11.17 20 1, 2
43 0.59 Cambodia 20 20 20 10 10.94 0 2, 3, 5
44 0.59 Moldova 18 12 9 20 4.6 0 2, 3, 7
45 0.59 Russia 13 20 13 18 9.95 0 1, 2
46 0.59 Serbia 15 15 10 20 7.35 2.5 1, 2
47 0.58 Lithuania 15 15 15 21 5.48 10 1, 2
48 0.58 Nigeria 24 30 10 5 11.73 0 1, 2
49 0.58 Panama 25 25 10 7 7.02 0 1, 2
50 0.58 Seychelles 15 33 0 15 6.41 5 2, 3, 8
51 0.57 Malaysia 26 25 5 10 6.5 0 1, 2
52 0.57 Tajikistan 13 25 13 20 7.8 0 3.9
53 0.57 Tonga 20 25 0 15 11.99 10 3, 9, 37
54 0.56 Angola 17 35 10 10 7.28 30 1, 2
55 0.56 Belize 25 25 0 12.5 10.75 10 3, 10
56 0.56 Egypt 25 25 2.5 10 16.85 0 1, 2
57 0.56 Georgia 20 15 20 18 1.51 20 1, 2
58 0.56 Romania 16 16 16 24 5.48 0 1, 2
59 0.56 Sri Lanka 24 28 0 12 9.88 0 1, 2
60 0.56 Ukraine 17 18 17 20 4.46 15 1, 2
61 0.55 Albania 23 15 10 20 3.8 10 1, 2
62 0.55 East Timor 30 10 30 12 2.5 0 3, 22
63 0.55 Laos 24 24 24 10 9.7 0 2, 3, 5
64 0.55 Uzbekistan 22 8 22 20 15.44 0 1, 2
65 0.54 Jamaica 25 25 0 16.5 7.58 4 1, 2
66 0.54 Slovakia 19 22 19 20 5.48 0 1, 2
67 0.54 Sudan 15 35 5 17 21.18 0 1
68 0.53 Comoros 30 50 20 10 8.78 0 3, 8, 11
69 0.53 Cook Islands 30 28 0 15 3.06 0 19
70 0.53 Estonia 21 21 21 20 5.48 0 1, 2
71 0.53 Honduras 25 30 10 15 5.76 0 1, 2
72 0.53 Latvia 25 15 15 21 5.48 7.5 1, 2
73 0.53 Liberia 25 25 25 7 10.21 N/A 3, 8, 28
74 0.53 Madagascar 21 20 20 20 11.79 0 1, 2
75 0.52 Botswana 25 22 25 12 7.55 25 1, 2
76 0.52 Costa Rica 25 30 25 13 5.57 0 1, 2
77 0.52 Guinea Bissau 20 25 20 15 11.92 N/A 3, 8
78 0.52 Hungary 16 19 16 27 5.48 18 1, 2
79 0.52 Pakistan 20 34 10 17 13.55 0 1, 2
80 0.52 Sao Tome and Principe 20 25 N/A 10 N/A N/A 3, 8
81 0.52 Trinidad and Tobago 25 25 25 15 7.48 0 1
82 0.51 Antigua and Barbuda 25 35 0 15 9.99 10 1
83 0.51 Bangladesh 25 27.5 15 15 14.42 5 3, 13
84 0.51 Czech Republic 22 19 15 21 5.48 40 1, 2
85 0.51 Fiji 31 20 10 15 16.92 0 1, 2
86 0.51 Ghana 25 25 15 17.5 13 0 1, 2
87 0.51 Indonesia 30 25 30 10 7 0 1, 2
88 0.51 Mauritania 33 25 0 15 9.6 2 1, 2
89 0.51 New Zealand 33 28 0 15 2.05 0 1, 2
90 0.51 Sierra Leone 30 30 0 15 11.87 0 3, 35
91 0.51 Swaziland 33 27.5 0 14 7.58 0 2, 3, 7
92 0.50 Ecuador 35 22 0 12 10.07 35 1, 2
93 0.50 Grenada 30 30 0 15 10.42 15 1
94 0.50 Nepal 25 30 25 13 12.26 0 7, 10, 32
95 0.50 St. Lucia 30 33.33 0 15 10.23 0 1
96 0.50 Tuvalu 30 30 30 5 7.7 N/A 3, 38
97 0.49 Cyprus 35 12.5 20 19 5.48 0 1, 2
98 0.49 Kenya 30 30 4 16 12.85 0 1, 2
99 0.49 North Korea 20 25 N/A 15 N/A N/A 3
100 0.49 Peru 30 30 5 18 3.68 0 1, 2
101 0.49 St. Vincent and the Grenadines 32.5 33 0 15 10.11 0 3, 8, 10
102 0.49 Taiwan 40 17 40 5 6.06 10 1, 2
103 0.49 Thailand 37 20 37 7 9.79 0 1, 2
104 0.48 Armenia 26 28 26 20 3.55 0 2, 3, 4, 5
105 0.48 Azerbaijan 30 20 30 18 9.06 0 1, 2
106 0.48 Barbados 35 25 0 17.5 12.35 0 1, 2
107 0.48 Brazil 27.5 25 15 19 13.52 8 1, 2
108 0.48 El Salvador 30 30 30 13 6.02 0 1, 2
109 0.48 Iran 35 25 0 5 26.62 65 3, 25
110 0.48 Papua New Guinea 42 30 0 10 5.1 0 1, 2
111 0.47 Argentina 35 20 0 21 12.52 0 1, 2
112 0.47 Dominican Republic 25 28 25 18 7.32 25 1, 2
113 0.47 Guatemala 31 28 31 12 5.72 25 1, 2
114 0.47 Haiti 30 30 N/A 10 2.77 N/A 3, 24
115 0.47 Namibia 37 33 0 15 7.58 0 1, 2
116 0.47 Nicaragua 30 30 30 15 5.73 3 1, 2
117 0.47 Switzerland 40 17.92 40 8 6.53 0 1, 2
118 0.46 Dominica 25 28 28 18 10.02 25 21
119 0.46 Eritrea 30 30 30 12 7.9 N/A 3, 9
120 0.46 Mexico 30 30 30 16 7.84 0 1, 2
121 0.46 Myanmar 20 35 10 30 5.6 0 1
122 0.46 Philipines 32 30 32 12 6.2 20 1, 2
123 0.46 Samoa 27 27 27 15 11.36 N/A 6, 33, 34
124 0.46 Uruguay 30 25 12 22 10.53 4 1, 2
125 0.46 Vietnam 35 22 35 10 9.48 35 1, 2
126 0.45 Bhutan 25 30 25 20 21.9 5 3, 14
127 0.45 Chile 40 20 0 19 5.98 25 1, 2
128 0.45 Gambia 35 31 15 15 14.08 0 1
129 0.45 Lesotho 35 25 35 14 7.56 0 2, 3, 27
130 0.45 Poland 32 19 19 23 5.48 20 1, 2
131 0.45 Solomon Islands 40 30 0 15 10.02 0 1
132 0.44 Burkina Faso 30 27.5 30 18 11.92 10 3, 11, 15
133 0.44 Canada 50 26.5 25 5 4.35 0 1, 2
134 0.44 Malawi 30 30 30 16.5 12.74 11 1, 2
135 0.44 Mozambique 32 32 20 17 10.06 10 1, 2
136 0.44 Rwanda 30 30 30 18 12.84 0 1, 2
137 0.44 South Africa 40 28 13.3 14 7.58 20 1, 2
138 0.44 Tanzania 30 30 30 18 12.86 0 1, 2
139 0.44 United States 39.6 40 39.6 0 3.4 35 1, 2
140 0.44 Zambia 35 35 5 16 13.65 5 1, 2
141 0.43 Algeria 35 19 35 17 18.6 5 1
142 0.43 Colombia 33 25 33 16 8.78 33 1, 2
143 0.43 Croatia 40 20 0 25 4.98 5 1, 2
144 0.43 Malta 29 35 35 18 5.48 5 1, 2
145 0.43 Niger 35 30 0 19 11.92 N/A 1
146 0.43 Tunisia 35 25 10 18 15.54 35 1, 2
147 0.42 Australia 45 30 30 10 2.69 0 1, 2
148 0.42 Ethiopia 35 30 30 15 17.31 0 2, 23
149 0.42 Gabon 35 30 20 18 17.85 0 1, 2
150 0.42 Turkey 35 20 35 18 9.57 30 1, 2
151 0.41 Burundi 35 35 20 18 12.83 0 3, 16
152 0.41 Djibouti 30 25 5 26 20.98 N/A 3, 9
153 0.40 Cameroon 35 35 16.5 19.25 17.83 10 1, 2
154 0.40 China 45 25 20 17 9.63 0 1, 2
155 0.40 Democratic Republic of Congo 50 35 0 13 11 0 1, 2
156 0.40 Guinea 40 35 10 18 11.89 3 2, 3, 8
157 0.40 Guyana 33.33 40 33.33 16 10.95 1 1
158 0.40 India 33.99 33.99 33.99 14 13.72 33.99 1, 2
159 0.40 Morocco 38 30 20 20 12.94 6 1, 2
160 0.40 Venezuela 34 34 34 12 13.33 55 1
161 0.39 Equatorial Guinea 35 35 35 15 17.9 10 1, 2
162 0.39 Kiribati 35 35 N/A 10 17.5 N/A 3, 8
163 0.39 Uganda 40 30 30 18 12.81 0 1, 2
164 0.38 South Korea 38 24.2 60 10 13.34 50 1, 2
165 0.37 Togo 35 29 N/A 18 11.92 N/A 3.9
166 0.36 Cape Verde 45 25 45 15 10.13 15 3, 10, 17
167 0.36 Iceland 46.22 20 20 25.5 5.47 10 1, 2
168 0.36 Ireland 48 12.5 30 23 5.48 30 1, 2
169 0.36 Mali 40 35 40 18 11.92 0 1
170 0.36 Slovenia 50 17 20 22 5.48 30 1, 2
171 0.36 Suriname 40 38 N/A 10 10.31 N/A 3, 36
172 0.36 United Kingdom 45 21 28 20 5.48 40 1, 2
173 0.36 Zimbabwe 46.35 25.75 20 15 17.77 50 1, 2
174 0.35 Greece 42 26 25 23 5.48 40 1, 2
175 0.35 Luxembourg 43.6 29.22 43.6 15 5.48 48 1, 2
176 0.35 Netherlands 52 25 0 21 5.48 40 1, 2
177 0.33 Benin 45 30 45 18 11.92 8 1
178 0.33 Italy 43 31.4 43 22 5.48 8 1, 2
179 0.32 Austria 50 25 50 20 5.48 0 1, 2
180 0.32 Israel 50 26.5 50 18 5.74 0 1, 2
181 0.32 Japan 50.84 35.64 50.84 8 4.63 50 1, 2
182 0.32 Norway 47.2 27 28 25 8.03 15 1, 2
183 0.32 Portugal 48 23 48 23 5.48 10 1, 2
184 0.32 Senegal 50 30 15 18 11.92 50 1, 2
185 0.31 Finland 51.25 20 32 24 5.48 32 1, 2
186 0.31 Germany 45 29.58 45 19 5.48 50 1, 2
187 0.31 Ivory Coast 60 25 0 18 11.92 45 1, 2
188 0.30 France 45 33.33 45 20 5.48 40 1, 2
189 0.30 Spain 52 30 27 21 5.48 34 1, 2
190 0.29 Congo 45 34 45 16 17.85 60 2, 3, 8
191 0.29 Sweden 57 22 30 25 5.48 0 1, 2
192 0.28 Belgium 50 33.99 50 21 5.48 5 1, 2
193 0.25 Central African Republic 50 30 50 19 17.85 N/A 3, 9
194 0.25 Chad 65 45 65 18 17.85 10 3, 18
195 0.25 Cuba 50 35 50 25 10.69 4 20
196 0.25 Somalia N/A N/A N/A 14 N/A N/A 3
197 0.24 Denmark 55.56 24.5 51.5 25 5.48 36.25 1, 2

SOURCES


The "Average Most-Favored-Nation Tariff" sub-indicator is based on the official "International Trade and Market Access Data" by the World Trade Organization (WTO) which can be accessed here.

Sources for all other tax sub-indicators are country-specific and are to be found in the numbered list below.

  1. Deloitte International Tax Source - Country Guides and Highlights Deloitte www deloitte com Retrieved July 10 2014
  2. "2013-2014 Worldwide personal tax guide - Ernst & Young" AND "Worldwide personal tax guide 2012 - 2013 - Ernst Young". Ernst & Young (EY). www.ey.com. Retrieved July 10, 2014.
  3. "Global indirect tax rates". www2.deloitte.com. Retrieved July 10, 2014.
  4. "Individual income tax rates table". KPMG. www.kpmg.com. Retrieved July 10, 2014.
  5. "Corporate tax rates table". KPMG. www.kpmg.com. Retrieved July 10, 2014.
  6. "Indirect tax rates table." KPMG. www.kpmg.com. Retrieved July 10, 2014.
  7. "Corporate Tax Rates 2014." Deloitte. www2.deloitte.com. Retrieved July 10, 2014.
  8. "2014 Index of Economic Freedom". The Heritage Foundation. www heritage org index Retrieved July 10 2014 Go to country profile then to Limited Government
  9. Santander Trade Portal: Global trade made easy". en.SantanderTrade.com,�Santander Group,�Retrieved July 10, 2014.�(Go to country profile, then to "Establish in ..." and "Tax system")
  10. Global Property Guide, http://www.globalpropertyguide.com. Retrieved July 10, 2014. (Go to country profile)
  11. Economy Rankings". The World Bank, www.doingbusiness.org. Retrieved July 10, 2014. (Select country and then go to "Paying Taxes")
  12. Thinking Beyond Borders - Afghanistan". KPMG, www.kpmg.com. Retrieved July 10, 2014.
  13. International Tax Bangladesh Highlights 2012". Deloitte, www.tohmatsu.com. Retrieved July 10, 2014.
  14. Taxation in Bhutan". Alloexpat, www.bhutan.alloexpat.com. Retrieved July 10, 2014.
  15. Africa – open for business; Burkina Faso". PWC, www.pwc.com.au. Retrieved July 10, 2014.
  16. Guide to Fiscal Information - Burundi". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  17. Cape Verde - Investing in Cape Verde through Portugal". PWC, pwc.com. Retrieved July 10, 2014.
  18. Investing in Africa - Chad". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  19. Income Tax". Ministry of Finance and Economic Management, Government of the Cook Islands, http://mfem.gov.ck/tax. Retrieved July 10, 2014.
  20. International Tax - Cuba Highlights 2013". Deloitte. Retrieved July 10, 2014.
  21. Dominica , Commonwealth of; Individual - Taxes on personal income". PWC, www.pwc.com. Retrieved July 10, 2014.
  22.  Timor-Leste (formerly East Timor) - Tax and Investment Guide 2009". PWC, www.pwc.com. Retrieved July 10, 2014.
  23. Ethiopia - Guide to Fiscal Information". Deloitte. Retrieved July 10, 2014.
  24. HAITI - Selected Issues (IMF Country Report No. 13/91)". International Monetary Fund. Retrieved July 10, 2014.
  25. ME Tax handbook ’12 - Getting to grips with the essentials". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  26. Kosovo Tax Highlights". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  27. Lesotho - Guide to Fiscal Information". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  28. A quick guide to Taxation in Liberia - 2013". PWC, www.pwc.com/gh. Retrieved July 10, 2014.
  29. Thinking of doing business in Micronesia? Tax and Investment Profile for Micronesia". Deloitte, www.deloitte.com. Retrieved July 10, 2014.
  30. Find Property and Real Estate expertise in Nauru". Nexus Strategic Partnerships Limited, www.commonwealthofnations.org. Retrieved July 10, 2014.
  31. NAURU - Nauru Tax Information". www.knowyourcountry.com. Retrieved July 10, 2014.
  32. Tax Rate In Nepal". Contractor Taxation, www.contractortaxation.com. Retrieved July 10, 2014.
  33. Income Tax Rates". Samoa Ministry for Revenue, www.revenue.gov.ws. Retrieved July 10, 2014.
  34. Jones Lang LaSalle - Investment Guide - Samoa - Capital Gains Tax". Jones Lang LaSalle, www.joneslanglasallesites.com. Retrieved July 10, 2014.
  35. Sierra Leone Fiscal Guide 2012/13". KPMG, www.kpmg.com. Retrieved July 10, 2014.
  36. Makka, Robby (no date). "SurinamInfo - EN - Taxes". SurinamInfo, www.surinaminfo.com. Retrieved July 10, 2014.
  37. Starting a Business in Tonga: Legal Requirements". Tonga Chamber of Commerce and Industry Inc., www.tongachamber.org. Retrieved July 10, 2014.
  38. Tuvalu - INCOME TAX ACT 1992". Tuvaluan Government, www.tuvalu-legislation.tv. Retrieved July 10, 2014.