The top five countries with the highest taxes are Germany (38.9%), Belgium (38.4%), Lithuania (35.8%), Denmark (35.3%) and Slovenia (33.7%). In Germany, church taxes are fully deductible and the government allows charitable contributions to be deducted up to 20% of the person's adjusted gross income (AGI). Church taxes are also levied in many other European countries. Non-employment income, such as royalties, interest and profits from the sale of properties, is taxed at a rate of 15% or 20%, as are capital gains.
Dividends are subject to a 15% tax rate, and no withholding tax is applied on interest unless the person is not a citizen of Lithuania, in which case the rate is 15%. Tax deductions are available for limited contributions to approved Danish pensions, unemployment insurance, interest on debt, charitable contributions, unreimbursed work trips and double households. There is an expatriate plan in Denmark, but considering that it still requires the payment of labor tax, the rate for those who meet the special expatriate requirements is 32.84%. The employee pays most of the pension and disability insurance at 15.50%, while health insurance is approximately the same between employer and employee, at 6.36%.
Social security as a whole in Slovenia amounts to 22.10%. Capital gains, interest and dividends are taxed at a flat rate of 25%, but tax residents can choose between this flat rate or progressive tax rates. The United States ranks 24.4% in this category of single people without children with an average income, giving it the 22nd highest tax rate. The countries with the lowest average personal income tax rates for single people without children are Chile (7%), Mexico (10.8%) and Korea (15%). For married families with only one income and two children, the countries with the highest average personal income taxes are different: Lithuania (35.8%) and Denmark (31.4%) are in the top five both in this category and in the category of single people without children.
Along with Lithuania and Denmark, Finland (30.2%), the Netherlands (27.7%) and Norway (27.5%) are also in the top five. Turkey's income tax rates range from 15 to... People pay social security contributions and a public broadcasting tax. The countries with the lowest average personal income tax rates for married couples with only one income and two children are the Czech Republic (6.5%), Chile (7%) and Switzerland (10.7%).There is a wide disparity between the highest and lowest tax burdens between OECD countries. Germany, Belgium, Lithuania, Denmark and Slovenia have the highest income tax for single people, while Lithuania (again), Norway, Denmark (again), Finland and the Netherlands have the highest income tax for married couples with two children.
Chile with 7%, Mexico with 10.8%, Korea with 15%, Estonia with 15.6% and Switzerland with 17.1% have the lowest global income taxes for single filers without children. Double taxation is something that should be avoided if there is any possible way to do so. It involves paying taxes twice for the same source of income; this usually happens when someone has income from many different sources, often internationally. This can happen with a 401(k) account, as well as with other tax-advantaged accounts such as individual retirement accounts (IRAs) and limited liability companies (LLCs). Some other taxes such as property tax - which is important in many countries such as the United States - and payroll taxes are not shown here. The table is not exhaustive in that it does not represent the true tax burden for companies or individuals in each country included in the list; these tax rates awarded to federations such as the United States and Canada are averages that vary by state or province; territories that have different rates than those of their respective country appear in italics. What would it mean to have a fair tax system? Would people pay more than companies? And would people pay more taxes through consumption or when they earned income? This visualization contains a snapshot of different tax categories of OECD member countries which demonstrates how there are many different ways to increase revenues. It is markedly different from all other OECD countries; for starters, social security and consumption taxes generate much more income in other countries than in the United States; in fact, social security is the main generator of tax revenues in many places including Japan (40.2%), Germany (37.9%) and France (32.8%).
And comparatively speaking people share much less of their income in developed world compared to US; in many countries people don't even contribute 20% of their income to total taxes such as Colombia (6.2%), Slovenia (14.3%) or Portugal (18.4%).This is because other entities such as companies pay much more taxes in countries such as Japan (12.9%) or Australia (19.1%) compared to US; individual taxpayers end up paying a large portion of total tax revenues in countries other than US; Value Added Tax (VAT) is an obvious example of this; a VAT-based tax system means that every time a company “adds value” to supply chain a tax must be paid to government which accumulates over time as finished products are manufactured and brought to market usually transmitted to consumers through higher prices. Thank you for your interest in purchasing high-quality poster of this visualization; they will be on sale soon; we'll send you an email when we're ready just leave your address in box; if you want to use our visualization in books magazines reports educational materials etc we can issue permission document that grants non-exclusive rights to reproduce store publish distribute etc you want.
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