Introduction
Taxation systems around the world are incredibly diverse, with different countries having different structures for taxation. The taxes paid by individuals and businesses vary greatly from country to country, ranging from extremely low levels of taxation to very high levels. For example, in some countries there is no personal income tax at all, while in others it can be as high as 50%. Even within a single country, taxes may vary significantly depending on the type of goods and services being purchased. Moreover, many countries have progressive taxation systems in place, where people with higher incomes pay a greater proportion of their earnings in taxes than those with lower incomes. Furthermore, corporations located in certain jurisdictions may be subject to corporate tax rates that are much lower than those applicable to other companies operating in different jurisdictions.
Tax Rates by Country
| # | Country | Tax Burden | Corporate Tax Rate | Income Tax Rate |
|---|---|---|---|---|
| 1 | Denmark | 46.34% | 22% | 56% |
| 2 | France | 45.4% | 28.41% | 45% |
| 3 | Belgium | 42.92% | 25% | 50% |
| 4 | Sweden | 42.91% | 20.6% | 57% |
| 5 | Italy | 42.45% | 27.81% | 43% |
| 6 | Austria | 42.44% | 25% | 55% |
| 7 | Finland | 42.19% | 20% | 31% |
| 8 | Cuba | 42% | 35% | 50% |
| 9 | Norway | 39.93% | 22% | 48% |
| 10 | Netherlands | 39.33% | 25% | 52% |
| 11 | Luxembourg | 39.22% | 24.94% | 42% |
| 12 | Germany | 38.81% | 29.9% | 48% |
| 13 | Greece | 38.71% | 24% | 44% |
| 14 | Montenegro | 38.1% | 9% | 9% |
| 15 | Slovenia | 37.65% | 19% | 50% |
| 16 | Federated States of Micronesia | 37.26% | 30% | 10% |
| 17 | Algeria | 37.2% | 26% | 35% |
| 18 | Iceland | 36.08% | 20% | 32% |
| 19 | Hungary | 35.77% | 9% | 15% |
| 20 | Poland | 35.38% | 19% | 32% |
| 21 | Czech Republic | 34.93% | 19% | 23% |
| 22 | Portugal | 34.84% | 31.5% | 48% |
| 23 | Slovakia | 34.74% | 21% | 25% |
| 24 | Spain | 34.65% | 25% | 47% |
| 25 | Canada | 33.45% | 26.47% | 33% |
| 26 | Barbados | 33.1% | 5.5% | 29% |
| 27 | Brazil | 33.1% | 34% | 28% |
| 28 | Estonia | 33.07% | 20% | 20% |
| 29 | United Kingdom | 32.7% | 19% | 45% |
| 30 | Belize | 32.4% | 25% | 25% |
| 31 | Seychelles | 32.4% | 33% | 15% |
| 32 | New Zealand | 32.31% | 28% | 33% |
| 33 | Tunisia | 32.1% | 15% | 35% |
| 34 | Japan | 32.03% | 29.74% | 41% |
| 35 | Dominica | 31.5% | 25% | 35% |
| 36 | Latvia | 31.2% | 20% | 31% |
| 37 | Eritrea | 30.5% | 30% | 30% |
| 38 | Israel | 30.47% | 23% | 50% |
| 39 | Lithuania | 30.34% | 15% | 20% |
| 40 | South Africa | 29.1% | 28% | 45% |
| 41 | Uruguay | 29% | 25% | 36% |
| 42 | Australia | 28.68% | 30% | 45% |
| 43 | Argentina | 28.6% | 35% | 35% |
| 44 | Jamaica | 28.6% | 25% | 30% |
| 45 | Switzerland | 28.53% | 19.7% | 40% |
| 46 | Morocco | 27.8% | 31% | 38% |
| 47 | South Korea | 27.4% | 27.5% | 50% |
| 48 | Mozambique | 27.1% | 32% | 32% |
| 49 | Nicaragua | 25.9% | 30% | 30% |
| 50 | Malta | 25.5% | 35% | 35% |
| 51 | Saint Vincent and the Grenadines | 25.4% | 30% | 30% |
| 52 | Bolivia | 24.7% | 25% | 13% |
| 53 | United States of America | 24.47% | 25.75% | 37% |
| 54 | Cyprus | 24.2% | 12.5% | 35% |
| 55 | Serbia | 24.1% | 15% | 10% |
| 56 | Brunei | 23.96% | 18.5% | 0% |
| 57 | Trinidad and Tobago | 23.7% | 30% | 25% |
| 58 | Costa Rica | 23.6% | 30% | 25% |
| 59 | Kosovo | 23.4% | 10% | |
| 60 | Guyana | 23.2% | 25% | 33% |
| 61 | Turkey | 23.08% | 20% | 40% |
| 62 | Fiji | 22.7% | 20% | 20% |
| 63 | Ireland | 22.66% | 12.5% | 41% |
| 64 | Armenia | 22.51% | 18% | 22% |
| 65 | Georgia | 22.22% | 15% | 20% |
| 66 | Croatia | 22.2% | 18% | 30% |
| 67 | Nepal | 22.07% | 25% | 25% |
| 68 | Honduras | 21.9% | 25% | 25% |
| 69 | Djibouti | 21.8% | 25% | 30% |
| 70 | Solomon Islands | 21.16% | 30% | 40% |
| 71 | Saint Lucia | 21.1% | 30% | 30% |
| 72 | El Salvador | 20.8% | 30% | 30% |
| 73 | Chile | 20.66% | 15% | 40% |
| 74 | Mauritius | 20.4% | 15% | 15% |
| 75 | Bulgaria | 20.3% | 10% | 10% |
| 76 | Lesotho | 20.2% | 25% | 35% |
| 77 | Bosnia and Herzegovina | 20.1% | 10% | 10% |
| 78 | Ecuador | 20.1% | 25% | 35% |
| 79 | Colombia | 19.68% | 31% | 39% |
| 80 | Uzbekistan | 19.56% | 7.5% | 22% |
| 81 | Namibia | 19.4% | 32% | 37% |
| 82 | Togo | 19.4% | 27% | 45% |
| 83 | Ukraine | 19.2% | 18% | 20% |
| 84 | Mongolia | 18.71% | 25% | 10% |
| 85 | The Bahamas | 18.7% | 0% | 0% |
| 86 | Albania | 18.3% | 15% | 23% |
| 87 | Malawi | 18.3% | 30% | 30% |
| 88 | Cambodia | 18.23% | 20% | 20% |
| 89 | Kyrgyzstan | 17.87% | 10% | 10% |
| 90 | Vanuatu | 17.84% | 0% | 0% |
| 91 | Maldives | 17.49% | 15% | 0% |
| 92 | Comoros | 17.4% | 50% | 30% |
| 93 | Kenya | 17.4% | 30% | 30% |
| 94 | Moldova | 17.3% | 12% | 12% |
| 95 | Republic of Macedonia | 17.2% | 10% | 10% |
| 96 | Eswatini | 17.2% | 27.5% | 33% |
| 97 | Rwanda | 17.1% | 30% | 30% |
| 98 | Vietnam | 16.9% | 20% | 35% |
| 99 | Burkina Faso | 16.8% | 28% | 28% |
| 100 | Egypt | 16.7% | 22.5% | 23% |
| 101 | Venezuela | 16.7% | 34% | 34% |
| 102 | Zambia | 16.7% | 35% | 38% |
| 103 | Peru | 16.6% | 29.5% | 30% |
| 104 | Senegal | 16.5% | 30% | 40% |
| 105 | Mexico | 16.47% | 30% | 35% |
| 106 | Mauritania | 16% | 25% | 40% |
| 107 | Thailand | 15.8% | 20% | 35% |
| 108 | Guinea | 15.6% | 35% | 40% |
| 109 | Turkmenistan | 15.56% | 8% | 10% |
| 110 | Suriname | 15.5% | 36% | 38% |
| 111 | Benin | 15.4% | 30% | 45% |
| 112 | Bhutan | 15.4% | 25% | 25% |
| 113 | Lebanon | 15.3% | 17% | 25% |
| 114 | People's Republic of China | 15.19% | 25% | 45% |
| 115 | Kazakhstan | 15.07% | 20% | 10% |
| 116 | Jordan | 14.8% | 20% | 30% |
| 117 | Qatar | 14.7% | 10% | 0% |
| 118 | Cameroon | 14.6% | 33% | 35% |
| 119 | Romania | 14.6% | 16% | 10% |
| 120 | Sierra Leone | 14.4% | 30% | 15% |
| 121 | Azerbaijan | 14.34% | 20% | 25% |
| 122 | Ghana | 14.1% | 25% | 30% |
| 123 | Mali | 14.1% | 30% | 40% |
| 124 | Panama | 14.1% | 25% | 25% |
| 125 | Philippines | 14% | 30% | 35% |
| 126 | Paraguay | 13.9% | 10% | 10% |
| 127 | Dominican Republic | 13.5% | 27% | 25% |
| 128 | Belarus | 13.3% | 18% | 13% |
| 129 | Chad | 13.3% | 35% | 60% |
| 130 | Singapore | 13.2% | 17% | 22% |
| 131 | Guatemala | 13.1% | 25% | 7% |
| 132 | Ivory Coast | 13.1% | 25% | 36% |
| 133 | Burundi | 12.9% | 30% | 35% |
| 134 | Zimbabwe | 12.6% | 24.72% | 52% |
| 135 | São Tomé and Príncipe | 12.5% | 25% | 20% |
| 136 | Botswana | 12.1% | 22% | 25% |
| 137 | Liberia | 12% | 25% | 25% |
| 138 | Malaysia | 11.95% | 24% | 30% |
| 139 | Papua New Guinea | 11.82% | 30% | 42% |
| 140 | Uganda | 11.8% | 30% | 40% |
| 141 | Tanzania | 11.7% | 30% | 30% |
| 142 | Gabon | 11.5% | 30% | 35% |
| 143 | Laos | 11.44% | 20% | 24% |
| 144 | Madagascar | 11.4% | 20% | 20% |
| 145 | Pakistan | 11.38% | 29% | 35% |
| 146 | Niger | 11.1% | 30% | 35% |
| 147 | Russia | 11% | 20% | 13% |
| 148 | The Gambia | 10.8% | 27% | 35% |
| 149 | Guinea-Bissau | 9.5% | 25% | 20% |
| 150 | Indonesia | 9.47% | 22% | 30% |
| 151 | Angola | 9.4% | 25% | 25% |
| 152 | Tajikistan | 9% | 23% | 13% |
| 153 | Central African Republic | 8.6% | 30% | 50% |
| 154 | Republic of the Congo | 8.5% | 28% | 30% |
| 155 | Iran | 8.4% | 25% | 35% |
| 156 | Sri Lanka | 8.12% | 24% | 18% |
| 157 | Sudan | 7.8% | 35% | 15% |
| 158 | Bangladesh | 7.69% | 32.5% | 25% |
| 159 | Democratic Republic of the Congo | 7.5% | 30% | 40% |
| 160 | Afghanistan | 7.47% | 20% | 20% |
| 161 | Haiti | 7.4% | 30% | 30% |
| 162 | Saudi Arabia | 7.4% | 20% | 3% |
| 163 | India | 6.81% | 30% | 31% |
| 164 | Ethiopia | 6.7% | 30% | 35% |
| 165 | East Timor | 6.32% | 10% | 10% |
| 166 | Equatorial Guinea | 6.3% | 35% | 35% |
| 167 | Nigeria | 6.3% | 30% | 24% |
| 168 | Bahrain | 3.02% | 0% | 0% |
| 169 | Oman | 2.6% | 15% | 0% |
| 170 | Iraq | 1.4% | 15% | 15% |
| 171 | Kuwait | 1.4% | 15% | 0% |
| 172 | United Arab Emirates | 1% | 0% | 0% |
High Income Tax Countries
Europe is home to some of the highest taxes in the world. Sweden, Denmark, France and Belgium for example all have rates that exceed 40%. Some of these countries also levy relatively high value added taxes – up to 21% in certain cases. In addition, certain European countries such as Germany and France are known for their comparatively high corporate taxes. However, it is important to note that not all European nations have such high tax levels; in fact, some countries like Ireland and Cyprus have among the lowest tax rates in Europe at 22.6% and 24.2%, respectively.
In comparison, some Asian countries tend to have more moderate tax rates than those found in Europe. Low-tax jurisdictions can be found throughout Southeast Asia and the Middle East; Qatar has a flat rate of income tax at 0%, while Brunei levies no personal or corporate income taxes at all. By contrast, China imposes a top marginal rate of 45% on incomes over 800,000 yuan (approximately $120K USD), although this number may be reduced by various deductions depending on an individual’s circumstances.
Overall, there are considerable differences between the nations with the highest and lowest taxes around the world; this variance is largely due to each country’s individual economic policies with regards to public expenditure and taxation structures. Although it may appear that Europe generally has high levels of taxation when compared to other parts of the world, there are still many countries which offer significantly lower rates than their neighbors.
Highest Taxed Countries in the World
The ten highest taxed countries in the world are Denmark, France, Belgium, Sweden, Italy, Austria, Finland, Cuba, Norway, and the Netherlands – all of them being European countries, with the exception of Cuba. Denmark has the highest tax burden rate of 46.34%, followed closely by France with 45.4%. Belgium follows in third place with a tax burden of 42.92%, while Sweden and Italy are in fourth and fifth position at a rate of 42.91% and 42.45% respectively. In sixth and seventh places are Austria and Finland, with a tax burden of 42.44% for the former and 42.19% for the latter. Cuba comes in eighth place with a tax burden at 42%, followed by Norway in ninth with a rate of 39.93%. Lastly, the Netherlands rounds out the top ten list of the highest taxed countries with a rate of 39.33%.
The ten most taxed countries in the world are :
1. Denmark – 46.34%
2. France – 45.4%
3. Belgium – 42.92%
4. Sweden – 42.91%
5. Italy – 42.45%
6. Austria – 42.44%
7. Finland – 42.19%
8. Cuba – 42%
9. Norway – 39.93%
10. Netherlands – 39.33%
Highest Taxed Country in the World
Denmark is the highest taxed country in the world, with a tax burden of 46.34%. This is attributed to their expansive welfare system that provides generous benefits to families and individuals, as well as investments in infrastructure and services such as healthcare, education, and public transportation. Danish people pay taxes on their income, consumption and property acquisition, with higher paid citizens paying more taxes due to a progressive taxation system. Furthermore, Denmark also imposes an inheritance tax of up to 15% on estates worth more than €155,000.
In addition to this, Denmark’s corporate tax rate has been steadily increasing over the years, reaching 22% in 2020. As a result of these high taxes, Danish citizens benefit from an extensive social safety net that includes free education from primary school through university level, generous maternity leave and parental leave policies, affordable healthcare options for all citizens and residents of Denmark regardless of income level or citizenship status, and generous pension schemes for retired individuals. The goal behind all these taxes is to create social equality among the population by providing shared access to resources which are seen as necessary for the collective good within society.
Tax Burden by Country
Afghanistan
Tax Burden
7.47%
Ranked in the World
#160
Ranked in the World
#131
Income Tax Rate
20%
Ranked in the World
#128
Albania
Tax Burden
18.3%
Ranked in the World
#86
Ranked in the World
#168
Income Tax Rate
23%
Ranked in the World
#121
Algeria
Tax Burden
37.2%
Ranked in the World
#17
Ranked in the World
#77
Income Tax Rate
35%
Ranked in the World
#49
Angola
Tax Burden
9.4%
Ranked in the World
#151
Ranked in the World
#79
Income Tax Rate
25%
Ranked in the World
#104
Argentina
Tax Burden
28.6%
Ranked in the World
#43
Ranked in the World
#4
Income Tax Rate
35%
Ranked in the World
#50
Armenia
Tax Burden
22.51%
Ranked in the World
#64
Ranked in the World
#158
Income Tax Rate
22%
Ranked in the World
#124
Australia
Tax Burden
28.68%
Ranked in the World
#42
Ranked in the World
#25
Income Tax Rate
45%
Ranked in the World
#17
Australia's tax burden of 28.68% places the nation as the forty-second highest-taxed country in the world. This means that Australians are paying a larger share of their wages in taxes compared with other countries. Australia's tax burden includes income taxes, payroll taxes, property taxes, capital gains taxes, and consumption taxes amongst others. These various forms of taxation play an important role in ensuring that public services are funded adequately, but also can lead to a burden on households when total taxation rises too high relative to incomes.
Austria
Tax Burden
42.44%
Ranked in the World
#6
Ranked in the World
#82
Income Tax Rate
55%
Ranked in the World
#4
Azerbaijan
Tax Burden
14.34%
Ranked in the World
#121
Ranked in the World
#133
Income Tax Rate
25%
Ranked in the World
#105
Bahrain
Tax Burden
3.02%
Ranked in the World
#168
Ranked in the World
#199
Income Tax Rate
0%
Ranked in the World
#169
Bangladesh
Tax Burden
7.69%
Ranked in the World
#158
32.5%
Ranked in the World
#19
Income Tax Rate
25%
Ranked in the World
#106
Barbados
Tax Burden
33.1%
Ranked in the World
#26
Ranked in the World
#197
Income Tax Rate
29%
Ranked in the World
#101
Belarus
Tax Burden
13.3%
Ranked in the World
#128
Ranked in the World
#159
Income Tax Rate
13%
Ranked in the World
#146
Belgium
Tax Burden
42.92%
Ranked in the World
#3
Ranked in the World
#83
Income Tax Rate
50%
Ranked in the World
#7
Belize
Tax Burden
32.4%
Ranked in the World
#30
Ranked in the World
#84
Income Tax Rate
25%
Ranked in the World
#107
Belize is the thirtieth highest-tax country in the world, with a tax burden of 32.40%. The main sources of revenue for Belize are corporate income taxes, individual income taxes, and payroll taxes, which together account for around half of all government revenue. In addition, various indirect taxes such as sales taxes also make up a large share of government income. While this is undoubtedly onerous for taxpayers, it also helps to fund public services and infrastructure projects throughout the country which would not be possible without these revenues.
Benin
Tax Burden
15.4%
Ranked in the World
#111
Ranked in the World
#26
Income Tax Rate
45%
Ranked in the World
#18
Bhutan
Tax Burden
15.4%
Ranked in the World
#112
Ranked in the World
#85
Income Tax Rate
25%
Ranked in the World
#108
Bolivia
Tax Burden
24.7%
Ranked in the World
#52
Ranked in the World
#86
Income Tax Rate
13%
Ranked in the World
#147
Bosnia and Herzegovina
Tax Burden
20.1%
Ranked in the World
#77
Ranked in the World
#186
Income Tax Rate
10%
Ranked in the World
#151
Botswana
Tax Burden
12.1%
Ranked in the World
#136
Ranked in the World
#122
Income Tax Rate
25%
Ranked in the World
#109
Brazil
Tax Burden
33.1%
Ranked in the World
#27
Ranked in the World
#14
Income Tax Rate
28%
Ranked in the World
#102
Brunei
Tax Burden
23.96%
Ranked in the World
#56
18.5%
Ranked in the World
#157
Income Tax Rate
0%
Ranked in the World
#170
Bulgaria
Tax Burden
20.3%
Ranked in the World
#75
Ranked in the World
#187
Income Tax Rate
10%
Ranked in the World
#152
Burkina Faso
Tax Burden
16.8%
Ranked in the World
#99
Ranked in the World
#63
Income Tax Rate
28%
Ranked in the World
#103
Burundi
Tax Burden
12.9%
Ranked in the World
#133
Ranked in the World
#27
Income Tax Rate
35%
Ranked in the World
#51
Cambodia
Tax Burden
18.23%
Ranked in the World
#88
Ranked in the World
#134
Income Tax Rate
20%
Ranked in the World
#129
Cameroon
Tax Burden
14.6%
Ranked in the World
#118
Ranked in the World
#16
Income Tax Rate
35%
Ranked in the World
#52
Canada
Tax Burden
33.45%
Ranked in the World
#25
26.47%
Ranked in the World
#76
Income Tax Rate
33%
Ranked in the World
#71
Canada is the twenty-fifth highest-tax country in the world, with a tax burden of 33.45%. The higher-than-average percentage suggests that Canadians pay more taxes than other countries on average, despite relatively lower wages compared to some developed nations. As well, the Canadian government collects taxes from sources including income tax, sales taxes, property taxes, and corporate taxes, contributing to the overall high rate of taxation in the country. Despite this, Canada's commitment to progressive policies and social support initiatives helps ensure that its citizens are provided with quality health care and education services that benefit all members of society.
Central African Republic
Tax Burden
8.6%
Ranked in the World
#153
Ranked in the World
#28
Income Tax Rate
50%
Ranked in the World
#8
Chad
Tax Burden
13.3%
Ranked in the World
#129
Ranked in the World
#5
Income Tax Rate
60%
Ranked in the World
#1
Chile
Tax Burden
20.66%
Ranked in the World
#73
Ranked in the World
#169
Income Tax Rate
40%
Ranked in the World
#30
Chile is the seventy-third highest-tax country in the world, with a tax burden of 20.66%. This means that the government collects about 21% of the country's total economic output in taxes. It is important to note that Chile's tax burden has been gradually increasing in recent years, seeing an increase of corporate tax rates and the inclusion of stricter anti-tax avoidance rules.
Colombia
Tax Burden
19.68%
Ranked in the World
#79
Ranked in the World
#23
Income Tax Rate
39%
Ranked in the World
#41
Comoros
Tax Burden
17.4%
Ranked in the World
#92
Ranked in the World
#1
Income Tax Rate
30%
Ranked in the World
#81
Costa Rica
Tax Burden
23.6%
Ranked in the World
#58
Ranked in the World
#29
Income Tax Rate
25%
Ranked in the World
#110
Croatia
Tax Burden
22.2%
Ranked in the World
#66
Ranked in the World
#160
Income Tax Rate
30%
Ranked in the World
#82
Cuba
Tax Burden
42%
Ranked in the World
#8
Ranked in the World
#6
Income Tax Rate
50%
Ranked in the World
#9
Cyprus
Tax Burden
24.2%
Ranked in the World
#54
12.5%
Ranked in the World
#180
Income Tax Rate
35%
Ranked in the World
#53
Czech Republic
Tax Burden
34.93%
Ranked in the World
#21
Ranked in the World
#153
Income Tax Rate
23%
Ranked in the World
#122
Democratic Republic of the Congo
Tax Burden
7.5%
Ranked in the World
#159
Ranked in the World
#30
Income Tax Rate
40%
Ranked in the World
#31
Denmark
Tax Burden
46.34%
Ranked in the World
#1
Ranked in the World
#124
Income Tax Rate
56%
Ranked in the World
#3
Denmark is the highest-taxed country in the world with a tax burden of 46.34%. This means that Danish citizens are subject to a much higher proportion of taxes than those in other countries who only pay roughly three-quarters of what Danes do. This can put a considerable strain on individuals, households, and businesses, who must be able to cope with paying more taxes than their international counterparts. Moreover, high taxation can also discourage foreign investment and risk-taking, due to the uncertainties associated with taxes being so high.
Djibouti
Tax Burden
21.8%
Ranked in the World
#69
Ranked in the World
#87
Income Tax Rate
30%
Ranked in the World
#83
Dominica
Tax Burden
31.5%
Ranked in the World
#35
Ranked in the World
#88
Income Tax Rate
35%
Ranked in the World
#54
Dominican Republic
Tax Burden
13.5%
Ranked in the World
#127
Ranked in the World
#72
Income Tax Rate
25%
Ranked in the World
#111
East Timor
Tax Burden
6.32%
Ranked in the World
#165
Ranked in the World
#188
Income Tax Rate
10%
Ranked in the World
#153
Ecuador
Tax Burden
20.1%
Ranked in the World
#78
Ranked in the World
#89
Income Tax Rate
35%
Ranked in the World
#55
Egypt
Tax Burden
16.7%
Ranked in the World
#100
22.5%
Ranked in the World
#121
Income Tax Rate
23%
Ranked in the World
#123
El Salvador
Tax Burden
20.8%
Ranked in the World
#72
Ranked in the World
#31
Income Tax Rate
30%
Ranked in the World
#84
Equatorial Guinea
Tax Burden
6.3%
Ranked in the World
#166
Ranked in the World
#7
Income Tax Rate
35%
Ranked in the World
#56
Eritrea
Tax Burden
30.5%
Ranked in the World
#37
Ranked in the World
#32
Income Tax Rate
30%
Ranked in the World
#85
Estonia
Tax Burden
33.07%
Ranked in the World
#28
Ranked in the World
#135
Income Tax Rate
20%
Ranked in the World
#130
Eswatini
Tax Burden
17.2%
Ranked in the World
#95
27.5%
Ranked in the World
#70
Income Tax Rate
33%
Ranked in the World
#72
Ethiopia
Tax Burden
6.7%
Ranked in the World
#164
Ranked in the World
#33
Income Tax Rate
35%
Ranked in the World
#57
Federated States of Micronesia
Tax Burden
37.26%
Ranked in the World
#16
Ranked in the World
#34
Income Tax Rate
10%
Ranked in the World
#154
Fiji
Tax Burden
22.7%
Ranked in the World
#62
Ranked in the World
#136
Income Tax Rate
20%
Ranked in the World
#131
Finland
Tax Burden
42.19%
Ranked in the World
#7
Ranked in the World
#137
Income Tax Rate
31%
Ranked in the World
#78
Finland is the seventh highest-taxed country in the world, with a tax burden of 42.19%. This means that Finnish taxpayers pay an average of 42.19% of their income in taxes. The high tax burden is due to a number of factors, including the high rate of income tax (which is progressive, with a top marginal rate of 31.25%), the high rate of value-added tax (24%), and the high rate of capital gains tax (30%). In addition to these direct taxes, Finnish taxpayers also pay a number of indirect taxes, such as property taxes and fuel taxes.
France
Tax Burden
45.4%
Ranked in the World
#2
28.41%
Ranked in the World
#62
Income Tax Rate
45%
Ranked in the World
#19
Gabon
Tax Burden
11.5%
Ranked in the World
#142
Ranked in the World
#35
Income Tax Rate
35%
Ranked in the World
#58
Georgia
Tax Burden
22.22%
Ranked in the World
#65
Ranked in the World
#170
Income Tax Rate
20%
Ranked in the World
#132
Germany
Tax Burden
38.81%
Ranked in the World
#12
29.9%
Ranked in the World
#58
Income Tax Rate
48%
Ranked in the World
#13
Ghana
Tax Burden
14.1%
Ranked in the World
#122
Ranked in the World
#90
Income Tax Rate
30%
Ranked in the World
#86
Greece
Tax Burden
38.71%
Ranked in the World
#13
Ranked in the World
#115
Income Tax Rate
44%
Ranked in the World
#24
Guatemala
Tax Burden
13.1%
Ranked in the World
#131
Ranked in the World
#91
Income Tax Rate
7%
Ranked in the World
#166
Guinea
Tax Burden
15.6%
Ranked in the World
#108
Ranked in the World
#8
Income Tax Rate
40%
Ranked in the World
#32
Guinea-Bissau
Tax Burden
9.5%
Ranked in the World
#149
Ranked in the World
#92
Income Tax Rate
20%
Ranked in the World
#133
Guyana
Tax Burden
23.2%
Ranked in the World
#60
Ranked in the World
#93
Income Tax Rate
33%
Ranked in the World
#73
Haiti
Tax Burden
7.4%
Ranked in the World
#161
Ranked in the World
#36
Income Tax Rate
30%
Ranked in the World
#87
Honduras
Tax Burden
21.9%
Ranked in the World
#68
Ranked in the World
#94
Income Tax Rate
25%
Ranked in the World
#112
Hungary
Tax Burden
35.77%
Ranked in the World
#19
Ranked in the World
#193
Income Tax Rate
15%
Ranked in the World
#139
Iceland
Tax Burden
36.08%
Ranked in the World
#18
Ranked in the World
#138
Income Tax Rate
32%
Ranked in the World
#75
India
Tax Burden
6.81%
Ranked in the World
#163
Ranked in the World
#37
Income Tax Rate
31%
Ranked in the World
#79
Indonesia
Tax Burden
9.47%
Ranked in the World
#150
Ranked in the World
#125
Income Tax Rate
30%
Ranked in the World
#88
Iran
Tax Burden
8.4%
Ranked in the World
#155
Ranked in the World
#95
Income Tax Rate
35%
Ranked in the World
#59
Iraq
Tax Burden
1.4%
Ranked in the World
#170
Ranked in the World
#171
Income Tax Rate
15%
Ranked in the World
#140
Ireland
Tax Burden
22.66%
Ranked in the World
#63
12.5%
Ranked in the World
#181
Income Tax Rate
41%
Ranked in the World
#28
Israel
Tax Burden
30.47%
Ranked in the World
#38
Ranked in the World
#119
Income Tax Rate
50%
Ranked in the World
#10
Italy
Tax Burden
42.45%
Ranked in the World
#5
27.81%
Ranked in the World
#69
Income Tax Rate
43%
Ranked in the World
#25
Ivory Coast
Tax Burden
13.1%
Ranked in the World
#132
Ranked in the World
#96
Income Tax Rate
36%
Ranked in the World
#47
Jamaica
Tax Burden
28.6%
Ranked in the World
#44
Ranked in the World
#97
Income Tax Rate
30%
Ranked in the World
#89
Japan
Tax Burden
32.03%
Ranked in the World
#34
29.74%
Ranked in the World
#59
Income Tax Rate
41%
Ranked in the World
#29
Jordan
Tax Burden
14.8%
Ranked in the World
#116
Ranked in the World
#139
Income Tax Rate
30%
Ranked in the World
#90
Kazakhstan
Tax Burden
15.07%
Ranked in the World
#115
Ranked in the World
#140
Income Tax Rate
10%
Ranked in the World
#155
Kenya
Tax Burden
17.4%
Ranked in the World
#93
Ranked in the World
#38
Income Tax Rate
30%
Ranked in the World
#91
Kosovo
Tax Burden
23.4%
Ranked in the World
#59
Income Tax Rate
10%
Ranked in the World
#156
Kuwait
Tax Burden
1.4%
Ranked in the World
#171
Ranked in the World
#172
Income Tax Rate
0%
Ranked in the World
#171
Kyrgyzstan
Tax Burden
17.87%
Ranked in the World
#89
Ranked in the World
#189
Income Tax Rate
10%
Ranked in the World
#157
Laos
Tax Burden
11.44%
Ranked in the World
#143
Ranked in the World
#141
Income Tax Rate
24%
Ranked in the World
#119
Latvia
Tax Burden
31.2%
Ranked in the World
#36
Ranked in the World
#142
Income Tax Rate
31%
Ranked in the World
#80
Lebanon
Tax Burden
15.3%
Ranked in the World
#113
Ranked in the World
#163
Income Tax Rate
25%
Ranked in the World
#113
Lesotho
Tax Burden
20.2%
Ranked in the World
#76
Ranked in the World
#98
Income Tax Rate
35%
Ranked in the World
#60
Liberia
Tax Burden
12%
Ranked in the World
#137
Ranked in the World
#99
Income Tax Rate
25%
Ranked in the World
#114
Lithuania
Tax Burden
30.34%
Ranked in the World
#39
Ranked in the World
#173
Income Tax Rate
20%
Ranked in the World
#134
Luxembourg
Tax Burden
39.22%
Ranked in the World
#11
24.94%
Ranked in the World
#113
Income Tax Rate
42%
Ranked in the World
#26
Madagascar
Tax Burden
11.4%
Ranked in the World
#144
Ranked in the World
#144
Income Tax Rate
20%
Ranked in the World
#135
Malawi
Tax Burden
18.3%
Ranked in the World
#87
Ranked in the World
#39
Income Tax Rate
30%
Ranked in the World
#92
Malaysia
Tax Burden
11.95%
Ranked in the World
#138
Ranked in the World
#116
Income Tax Rate
30%
Ranked in the World
#93
Maldives
Tax Burden
17.49%
Ranked in the World
#91
Ranked in the World
#174
Income Tax Rate
0%
Ranked in the World
#172
Mali
Tax Burden
14.1%
Ranked in the World
#123
Ranked in the World
#40
Income Tax Rate
40%
Ranked in the World
#33
Malta
Tax Burden
25.5%
Ranked in the World
#50
Ranked in the World
#9
Income Tax Rate
35%
Ranked in the World
#61
Mauritania
Tax Burden
16%
Ranked in the World
#106
Ranked in the World
#100
Income Tax Rate
40%
Ranked in the World
#34
Mauritius
Tax Burden
20.4%
Ranked in the World
#74
Ranked in the World
#175
Income Tax Rate
15%
Ranked in the World
#141
Mexico
Tax Burden
16.47%
Ranked in the World
#105
Ranked in the World
#41
Income Tax Rate
35%
Ranked in the World
#62
Moldova
Tax Burden
17.3%
Ranked in the World
#94
Ranked in the World
#184
Income Tax Rate
12%
Ranked in the World
#150
Mongolia
Tax Burden
18.71%
Ranked in the World
#84
Ranked in the World
#101
Income Tax Rate
10%
Ranked in the World
#159
Montenegro
Tax Burden
38.1%
Ranked in the World
#14
Ranked in the World
#194
Income Tax Rate
9%
Ranked in the World
#165
Montenegro is the fourteenth highest-taxed country in the world, with a tax burden of 38.10%. Montenegro's taxes are primarily based on personal income taxes, value-added taxes (VAT), corporate income taxes, and excise duties. Furthermore, wages are subject to social security contributions of both employers and employees. The high tax rate in Montenegro has led to some criticism from citizens and businesses who feel that this rate is too high for their situation. Despite this criticism, Montenegro's government has stated that its taxation system is necessary for promoting economic growth and development within the country.
Morocco
Tax Burden
27.8%
Ranked in the World
#46
Ranked in the World
#24
Income Tax Rate
38%
Ranked in the World
#42
Mozambique
Tax Burden
27.1%
Ranked in the World
#48
Ranked in the World
#20
Income Tax Rate
32%
Ranked in the World
#76
Namibia
Tax Burden
19.4%
Ranked in the World
#81
Ranked in the World
#21
Income Tax Rate
37%
Ranked in the World
#45
Nepal
Tax Burden
22.07%
Ranked in the World
#67
Ranked in the World
#104
Income Tax Rate
25%
Ranked in the World
#115
Netherlands
Tax Burden
39.33%
Ranked in the World
#10
Ranked in the World
#105
Income Tax Rate
52%
Ranked in the World
#5
New Zealand
Tax Burden
32.31%
Ranked in the World
#32
Ranked in the World
#65
Income Tax Rate
33%
Ranked in the World
#74
Nicaragua
Tax Burden
25.9%
Ranked in the World
#49
Ranked in the World
#44
Income Tax Rate
30%
Ranked in the World
#94
Niger
Tax Burden
11.1%
Ranked in the World
#146
Ranked in the World
#45
Income Tax Rate
35%
Ranked in the World
#63
Nigeria
Tax Burden
6.3%
Ranked in the World
#167
Ranked in the World
#46
Income Tax Rate
24%
Ranked in the World
#120
Norway
Tax Burden
39.93%
Ranked in the World
#9
Ranked in the World
#126
Income Tax Rate
48%
Ranked in the World
#14
Norway is the ninth highest-taxed country in the world, with a tax burden of 39.93%. Norway has some of the highest public expenditures compared to other nations. This mainly comes from its progressive tax system with higher rates for higher earners and generous social welfare programs that are funded by taxation. Norway's top personal income tax rate stands at 47%, while corporation taxes range from 23% to 25%. The government also levies value-added tax (VAT) on most goods and services at a flat rate of 25%. Additionally, there are property taxes, payroll taxes, wealth taxes, and inheritance taxes which further contribute to the country's overall taxation burden.
Oman
Tax Burden
2.6%
Ranked in the World
#169
Ranked in the World
#176
Income Tax Rate
0%
Ranked in the World
#173
Pakistan
Tax Burden
11.38%
Ranked in the World
#145
Ranked in the World
#61
Income Tax Rate
35%
Ranked in the World
#64
Pakistan is not a high-taxed country. With a tax burden of 11.38%, the country is ranked one-hundred and forty-fifth in the world. Taxation in Pakistan is composed of multiple levies, including personal income taxes, corporate taxes, and indirect taxes such as sales tax, excise duty, and customs duty. These taxes have traditionally been used to finance public projects such as infrastructure development, healthcare initiatives, and education programs. Despite this tax burden, resources continue to be scarce due to inadequate capacity and poor governance structures which lead to corruption and wastefulness.
Panama
Tax Burden
14.1%
Ranked in the World
#124
Ranked in the World
#106
Income Tax Rate
25%
Ranked in the World
#116
Papua New Guinea
Tax Burden
11.82%
Ranked in the World
#139
Ranked in the World
#47
Income Tax Rate
42%
Ranked in the World
#27
Paraguay
Tax Burden
13.9%
Ranked in the World
#126
Ranked in the World
#190
Income Tax Rate
10%
Ranked in the World
#160
People's Republic of China
Tax Burden
15.19%
Ranked in the World
#114
Ranked in the World
#107
Income Tax Rate
45%
Ranked in the World
#20
Peru
Tax Burden
16.6%
Ranked in the World
#103
29.5%
Ranked in the World
#60
Income Tax Rate
30%
Ranked in the World
#95
Philippines
Tax Burden
14%
Ranked in the World
#125
Ranked in the World
#48
Income Tax Rate
35%
Ranked in the World
#65
Poland
Tax Burden
35.38%
Ranked in the World
#20
Ranked in the World
#154
Income Tax Rate
32%
Ranked in the World
#77
Portugal
Tax Burden
34.84%
Ranked in the World
#22
31.5%
Ranked in the World
#22
Income Tax Rate
48%
Ranked in the World
#15
Qatar
Tax Burden
14.7%
Ranked in the World
#117
Ranked in the World
#191
Income Tax Rate
0%
Ranked in the World
#174
Republic of Macedonia
Tax Burden
17.2%
Ranked in the World
#96
Ranked in the World
#192
Income Tax Rate
10%
Ranked in the World
#161
Republic of the Congo
Tax Burden
8.5%
Ranked in the World
#154
Ranked in the World
#66
Income Tax Rate
30%
Ranked in the World
#96
Romania
Tax Burden
14.6%
Ranked in the World
#119
Ranked in the World
#167
Income Tax Rate
10%
Ranked in the World
#162
Russia
Tax Burden
11%
Ranked in the World
#147
Ranked in the World
#145
Income Tax Rate
13%
Ranked in the World
#148
Rwanda
Tax Burden
17.1%
Ranked in the World
#97
Ranked in the World
#49
Income Tax Rate
30%
Ranked in the World
#97
Saint Lucia
Tax Burden
21.1%
Ranked in the World
#71
Ranked in the World
#50
Income Tax Rate
30%
Ranked in the World
#98
Saint Vincent and the Grenadines
Tax Burden
25.4%
Ranked in the World
#51
Ranked in the World
#51
Income Tax Rate
30%
Ranked in the World
#99
São Tomé and Príncipe
Tax Burden
12.5%
Ranked in the World
#135
Ranked in the World
#109
Income Tax Rate
20%
Ranked in the World
#136
Saudi Arabia
Tax Burden
7.4%
Ranked in the World
#162
Ranked in the World
#146
Income Tax Rate
3%
Ranked in the World
#168
Senegal
Tax Burden
16.5%
Ranked in the World
#104
Ranked in the World
#52
Income Tax Rate
40%
Ranked in the World
#35
Serbia
Tax Burden
24.1%
Ranked in the World
#55
Ranked in the World
#178
Income Tax Rate
10%
Ranked in the World
#163
Seychelles
Tax Burden
32.4%
Ranked in the World
#31
Ranked in the World
#18
Income Tax Rate
15%
Ranked in the World
#142
Sierra Leone
Tax Burden
14.4%
Ranked in the World
#120
Ranked in the World
#53
Income Tax Rate
15%
Ranked in the World
#143
Singapore
Tax Burden
13.2%
Ranked in the World
#130
Ranked in the World
#165
Income Tax Rate
22%
Ranked in the World
#125
Slovakia
Tax Burden
34.74%
Ranked in the World
#23
Ranked in the World
#129
Income Tax Rate
25%
Ranked in the World
#117
Slovenia
Tax Burden
37.65%
Ranked in the World
#15
Ranked in the World
#155
Income Tax Rate
50%
Ranked in the World
#11
Solomon Islands
Tax Burden
21.16%
Ranked in the World
#70
Ranked in the World
#54
Income Tax Rate
40%
Ranked in the World
#36
South Africa
Tax Burden
29.1%
Ranked in the World
#40
Ranked in the World
#67
Income Tax Rate
45%
Ranked in the World
#21
South Korea
Tax Burden
27.4%
Ranked in the World
#47
27.5%
Ranked in the World
#71
Income Tax Rate
50%
Ranked in the World
#12
Spain
Tax Burden
34.65%
Ranked in the World
#24
Ranked in the World
#111
Income Tax Rate
47%
Ranked in the World
#16
Sri Lanka
Tax Burden
8.12%
Ranked in the World
#156
Ranked in the World
#117
Income Tax Rate
18%
Ranked in the World
#138
Sudan
Tax Burden
7.8%
Ranked in the World
#157
Ranked in the World
#12
Income Tax Rate
15%
Ranked in the World
#144
Suriname
Tax Burden
15.5%
Ranked in the World
#110
Ranked in the World
#3
Income Tax Rate
38%
Ranked in the World
#43
Sweden
Tax Burden
42.91%
Ranked in the World
#4
20.6%
Ranked in the World
#130
Income Tax Rate
57%
Ranked in the World
#2
Sweden is the fourth highest-taxed country in the world, with a tax burden of 42.91%. This high taxation rate has helped to fuel Sweden's social welfare system, giving it some of the best public services in the world, such as free healthcare and education. Despite the high tax burden, however, Sweden still ranks among the wealthiest countries in terms of economic output and quality of life indicators and Sweden has seen consistent long-term economic growth over the last five decades. This indicates that its high taxation policy can be beneficial in terms of stimulating economic activity and increasing the living standards of its citizens.
Switzerland
Tax Burden
28.53%
Ranked in the World
#45
19.7%
Ranked in the World
#152
Income Tax Rate
40%
Ranked in the World
#37
Tajikistan
Tax Burden
9%
Ranked in the World
#152
Ranked in the World
#120
Income Tax Rate
13%
Ranked in the World
#149
Tanzania
Tax Burden
11.7%
Ranked in the World
#141
Ranked in the World
#55
Income Tax Rate
30%
Ranked in the World
#100
Thailand
Tax Burden
15.8%
Ranked in the World
#107
Ranked in the World
#148
Income Tax Rate
35%
Ranked in the World
#66
The Bahamas
Tax Burden
18.7%
Ranked in the World
#85
Ranked in the World
#207
Income Tax Rate
0%
Ranked in the World
#175
The Gambia
Tax Burden
10.8%
Ranked in the World
#148
Ranked in the World
#73
Income Tax Rate
35%
Ranked in the World
#67
Togo
Tax Burden
19.4%
Ranked in the World
#82
Ranked in the World
#74
Income Tax Rate
45%
Ranked in the World
#22
Trinidad and Tobago
Tax Burden
23.7%
Ranked in the World
#57
Ranked in the World
#56
Income Tax Rate
25%
Ranked in the World
#118
Tunisia
Tax Burden
32.1%
Ranked in the World
#33
Ranked in the World
#179
Income Tax Rate
35%
Ranked in the World
#68
Turkey
Tax Burden
23.08%
Ranked in the World
#61
Ranked in the World
#149
Income Tax Rate
40%
Ranked in the World
#39
Turkmenistan
Tax Burden
15.56%
Ranked in the World
#109
Ranked in the World
#195
Income Tax Rate
10%
Ranked in the World
#164
Uganda
Tax Burden
11.8%
Ranked in the World
#140
Ranked in the World
#57
Income Tax Rate
40%
Ranked in the World
#40
Ukraine
Tax Burden
19.2%
Ranked in the World
#83
Ranked in the World
#162
Income Tax Rate
20%
Ranked in the World
#137
United Arab Emirates
Tax Burden
1%
Ranked in the World
#172
Ranked in the World
#209
Income Tax Rate
0%
Ranked in the World
#176
United Kingdom
Tax Burden
32.7%
Ranked in the World
#29
Ranked in the World
#156
Income Tax Rate
45%
Ranked in the World
#23
United States of America
Tax Burden
24.47%
Ranked in the World
#53
25.75%
Ranked in the World
#78
Income Tax Rate
37%
Ranked in the World
#46
The United States is the fifty-third highest tax country in the world with a tax burden of 24.47%. This means that US citizens pay nearly one-quarter of their income in taxes. Compared to other high-income countries, the U.S. is slightly above the Organization for Economic Co-operation and Development (OECD) average of 22.3%, ranking lower than Belgium (42.92%), Germany (38.81%), France (45.4%), and Italy (42.45%). Despite being comparatively low on the list, taxes remain a significant part of an individual's income in America, with the top 1% earning approximately 37% of all wage income and paying an effective federal rate of 27%.
Uruguay
Tax Burden
29%
Ranked in the World
#41
Ranked in the World
#112
Income Tax Rate
36%
Ranked in the World
#48
Uzbekistan
Tax Burden
19.56%
Ranked in the World
#80
Ranked in the World
#196
Income Tax Rate
22%
Ranked in the World
#127
Vanuatu
Tax Burden
17.84%
Ranked in the World
#90
Ranked in the World
#210
Income Tax Rate
0%
Ranked in the World
#177
Venezuela
Tax Burden
16.7%
Ranked in the World
#101
Ranked in the World
#15
Income Tax Rate
34%
Ranked in the World
#70
Vietnam
Tax Burden
16.9%
Ranked in the World
#98
Ranked in the World
#150
Income Tax Rate
35%
Ranked in the World
#69
Zambia
Tax Burden
16.7%
Ranked in the World
#102
Ranked in the World
#13
Income Tax Rate
38%
Ranked in the World
#44
Zimbabwe
Tax Burden
12.6%
Ranked in the World
#134
24.72%
Ranked in the World
#114
Income Tax Rate
52%
Ranked in the World
#6
FAQs
What is the most taxed country in the world?
The most taxed country in the world is Denmark, with a tax burden of 46.34%.
What is the least taxed country in the world?
The country with the lowest tax burden is the United Arab Emirates, with a tax burden of only 1%.
What are the countries with the highest taxes?
The ten countries with the highest tax burden rates are Denmark, France, Belgium, Sweden, Italy, Austria, Finland, Cuba, Norway, and the Netherlands.