Hungary (9 percent), Ireland (12.5 percent), and Lithuania (15 percent) have the lowest corporate income tax rates. On average, European OECD countries currently levy a corporate income tax rate of 21.5 percent.
However, regional variations remain significant. The canton of Zug, which has a corporate tax rate of only 11.85%, offers the most attractive tax rate in the country. It is followed by cantons Nidwalden (11.97%) and Lucerne (12.2%), according to a study published on Monday by the auditing and consulting firm PwC.
Hungary and Romania have flat taxes of 16%, and Lithuania and Georgia have flat charges of 20%. Many of the countries with flat fees have lower standards of living than the nations that surround them.
Finland. Finland has the highest taxes in Europe and the second highest taxes in the world. The rates are so high that this small home of just 5.5 million people earns a place in this list of highest tax countries, courtesy of its top marginal tax rate of 56.95%.
The normal rate of Corporate Income Tax (IRC) is: 21% in mainland Portugal. 20% in the Autonomous Region of Madeira.
After many rates had been reduced in the previous years due to the Corporate Tax Reform (TRAF), the period from 2022 to 2023 only saw minimum tax cuts in a few individual cases. The ordinary corporate tax rates for businesses in Switzerland declined slightly year over year – from 14.68 percent to 14.6 percent.
First, despite often-repeated claims that Australia is a “high-tax country”, we are actually towards the bottom among industrialised nations.
The country with the greatest saving on average is Croatia, at 17.12%. Croatia has one of the highest VAT rates on the continent, which enables you to claim a significant portion of your purchase back. The nation with the second-highest average refund amount is Hungary, at 16.8%.
The countries in Europe with no wealth tax are Portugal, Monaco, Liechtenstein, and Greece.
Comoros (50 percent), Puerto Rico (37.5 percent), and Suriname (36 percent) are the jurisdictions with the highest corporate tax rates in the world, while Barbados (5.5 percent), Turkmenistan (8 percent), and Hungary (9 percent) levy the lowest corporate rates. Sixteen jurisdictions do not impose a corporate tax.
Of the countries that do levy a capital gains tax, Greece and Hungary have the lowest rates, at 15 percent. On average, the European countries covered tax capital gains arising from the sale of listed shares at 19.4 percent. Capital gains are only taxed if they are regarded as professional income.
Although Switzerland is no longer a place to "hide" money due to pressure from the United States and the European Union (EU), it still offers the wealthy some benefits for living and keeping their money there.
There are currently 14 countries with zero income tax in the world: Antigua and Barbuda, St. Kitts and Nevis, United Arab Emirates, Vanuatu, Brunei, Bahrain, the Bahamas, Bermuda, Cayman Islands, Monaco, Kuwait, Qatar, Somalia, and Western Sahara.
Australia's 2020 tax-to-GDP ratio ranked it 30th¹ out of 38 OECD countries in terms of the tax- to-GDP ratio compared with the 2021 figures. In 2020 Australia had a tax-to-GDP ratio of 28.5%, compared with the OECD average of 34.1% in 2021 and 33.6% in 2020.
The main reason Australia ranks so highly on individual income tax levels is because Australians don't pay separate social security taxes. These account for an average 25.9% of total tax revenue, or close to 9% of GDP, across the OECD.
Conclusion. The tax rates in Australia are among the highest in the world. Compared to the US, high earners will be paying far higher rates on much lower incomes. However, compared to the UK, Australia's tax rates are on par, or slightly lower.
Victoria is officially the highest taxing state or territory in Australia as the Andrews government and councils pocketed an extra $7 billion last financial year in land tax, stamp duty, rates and other charges.
Key Takeaway: You will have to pay less tax on income in Australia, than you would in Canada. Generous government benefits in terms of food security and health benefits are offered in Canada. Moreover cost of living is a bit lower when compared with Australia.
Ultimately, Australians pay more in taxes than Americans, but, relative to other high- and low-tax countries in the OCED, not by much. The real difference is in how that revenue is spent.
Sweden currently levies a corporate income tax of 20.6 per cent.