Countries with the highest taxes in the world, 2019 table

As the old adage goes, there are only two things defined in life: death and taxes. Taxes can be a heavy burden on citizens, but they can also be beneficial for a number of reasons. They are used to fund educational, technological, infrastructure, military and medical programs. Taxes provide the means a country needs to survive, so it is a necessary evil.

Here are the top 10 countries with the highest taxes in the world, according to TheGlobalEconomy.com. When compiling the list, the personal income tax rate (PIT) was taken into account.

10. Slovenia

Income of individuals in Slovenia is taxed at a progressive rate of 16%; 27%, 34%, 39%, 50%, which grows with the salary. Half of their income is given to the Treasury of Slovenia by those whose annual income exceeds 70,907 euros.

It is interesting that the tax for individuals is paid not only by the employer, as is customary in Russia, but also by the employees themselves.

A foreign citizen holding a residence permit in Slovenia must pay personal income tax if he is in the country for more than 183 days within 12 months.

9. Israel

The Promised Land has a fair and progressive taxation scale. This means that people with higher incomes pay more taxes than people with lower incomes.

A minimum income tax of 10% is taken on amounts below 6,240 shekels or 1,770 dollars. And the maximum is 50%, for amounts over 53,490 shekels or 15,300 dollars.

Israelis begin to pay personal income tax from the age of 16, and from all incomes, even those that were received in the Arab territories of the country.

8. Belgium

Belgium, like many of the countries with the highest income taxes, has a progressive tax. For rich people, the percentage of personal income tax reaches 50%.

Income from property, work, investment and other sources in Belgium is also taxed. In addition, employed people pay social security tax of 13.07% of their income. Therefore, Belgium can hardly be called a tax haven.

7. Netherlands

In one of most prosperous countries in the world all income of individuals is classified into one of three categories:

1. wages, benefits, pensions and income from real estate ownership;
2. income from dividends and capital gains;
3. savings and investment income.

Each category has its own deductions and tax rates.

The income of residents of the Netherlands is taxed at progressive rates. The minimum personal income tax (8.9%) is provided for citizens who receive less than 19,982 euros per year.

6. Aruba

You hardly hear about Aruba on the news often. This small island nation located in the Caribbean is known mainly for its festivals, excellent surfing conditions and some of the highest taxes in the world.

In Aruba, the personal income tax rate is levied on various sources of income, such as salaries, pensions, interest and dividends. In 2005, it reached a record level of 60.10%.

The maximum rate of 52.00% is reached on an income of 141,783 Aruban florins ($ 78.33).

5. Finland

The country of a thousand lakes has a progressive tax rate. Individuals also pay social security contributions and public service broadcasting tax.

Finland levies income tax on wages, pensions and social benefits, and investment income. Moreover, the income received is subject to not only state taxes, but also municipal and church taxes. The latter takes about 2%; the state spends them on financing the religious denomination to which the taxpayer considers himself.

4. Austria

Austrian taxation is based on the European concept of large budget contributions. Moreover, the lion's share of the burden falls on individuals, while enterprises and companies pay taxes at reduced rates. Austrians pay a progressive tax that goes up to 55%.

White collar workers contribute 18.07% of their income to social security and blue collar workers 18.2%, with a ceiling of 4,530 euros.

Austria provides automatic tax credits based on the number of households earning income, as well as loans for children and travel to work. Certain work-related and childcare expenses are not tax deductible.

3. Japan

Modern samurai pay the state income tax on a progressive scale of taxation, which starts at 10% and ends at 50%. But they are not limited to one thing. There is also a prefectural income tax, as well as local income taxes.

However, the Japanese do not complain, considering the need to give away part of their hard-earned yen not only as a source of replenishing the country's budget, but also as their personal contribution to the economic and social development of Japan.

2. Denmark

The maximum personal income tax in Denmark is 56%, and the average Dane pays 45%. It consists of several mandatory contributions:

• collection at employment centers;
• municipal taxes;
• regional taxes;
• state fee.

There is also a voluntary church tax ranging from 0.43% to 1.40%.

However, this entire huge list of taxes is offset by high salaries. And the fact that the Danes are sleeping peacefully, having paid taxes, is evidenced by the fact that Denmark is included in top 3 happiest countries in the world.

1. Sweden

In Sweden, the tax is made up of local (communal) fees and government fees. And if the Russian authorities seek to tax even self-employed citizens with a small income, then in Sweden the state tax is levied on individuals only if they earn from 490,700 crowns. Those who earn less pay only utility tax.

The income tax rate for Swedes grows depending on the amount earned and reaches an impressive 57%. If a Swedish citizen receives dividends, they are also taxed at 10%.

Despite the fact that Sweden has the highest income tax in the world, the residents of the country treat the tax office with respect. In a 2016 poll, it was ranked 5th in popularity out of 30 major government departments.

It is curious that none of the states in the top ten was included in top 10 countries with the highest tax burden on business.

Russia in the ranking of taxation countries takes 118th place out of 139... In our country, there is a 13 percent income tax rate on most individual income.