All regions recorded a net decline in average statutory rates between 1980 and 2021. The average fell the most in Europe, with the 1980 average falling from 44.6% to 19.84%, a decrease of 55%. South America saw the smallest decline, with the average falling by only 27 percent, from 36.66 percent in 1980 to 26.63 percent in 2021. [9] As no average is given in this section, it covers the 225 countries and territories for which corporate tax rates have been established for 2021 (including those for which GDP data were not available). Andorra has no wealth tax, no inheritance tax, no gift tax and only levies capital gains tax on the sale of Andorran real estate, the purchase of which is necessary if you want to establish a tax residence in the Principality. Tax rates vary from 0%t0 to 10% and come into effect as soon as income exceeds €40,000. There is a generous standard exemption of €24,000. Corporate tax rates range from 2% to 10%. This is a list of potential maximum tax rates in Europe for certain income classes. It focuses on three types of taxes: corporation tax, retail trade tax and value added tax (VAT). It is not intended to represent the real tax burden on the company or individual in the listed country.

The 20 countries with the highest statutory corporate tax rates cover almost all regions, albeit unevenly. While eight of the top 20 countries are in Africa, Europe, Oceania and Asia appear only once. Of the other jurisdictions, five are in North America and four in South America. Notes: * Bahrain does not have a general corporate tax, but a targeted tax on oil companies, which can reach 46%. See Deloitte, "International Tax – Bahrain Highlights 2021," last updated January 2021, www2.deloitte.com/content/dam/Deloitte/global/Documents/Tax/dttl-tax-bahrainhighlights-2021.pdf. The United Arab Emirates is a federation of seven different emirates. Since 1960, each emirate has had the discretion to levy up to 55% corporate tax rate on each company. In practice, this tax is mainly levied by foreign banks and oil companies.

For more information on the UAE tax system, see PwC, "Worldwide Tax Summaries – Corporate income tax (CIT) rates." www.taxsummaries.pwc.com/quick-charts/corporate-income-tax-cit-rates. In 2009, the Danish government passed the Danish Tax Reform Act, which allowed foreign investors to use Denmark as a holding company. A Danish holding company can be entirely foreign. A Danish private holding company is called "Anpartselskab", which is abbreviated to ApS. These companies help foreign retail investors hold a globally diversified portfolio of corporate shares for investment and trading purposes, primarily tax-free, under a corporate identity outside the tax jurisdiction of their home country. In short, Denmark allows the registration of tax-exempt holding companies that receive income from multiple sources and can pass it on to other companies in different countries. They offer an excellent investment platform for tax-free investments in securities and their derivatives, as foreign investors are not taxed on the income of investment companies as long as certain conditions are met. Very few tax jurisdictions levy corporate tax at legal rates of more than 35%. The chart below shows a distribution of corporate tax rates across 225 jurisdictions in 2021. Several countries (115 in total) set rates equal to or greater than 20% and less than 30%. Twenty-two jurisdictions have a legal corporate tax rate equal to or greater than 30% and less than 35%.

Only three jurisdictions have a rate of more than 35%. Eighty-five jurisdictions have a legal corporate tax rate of less than 20% and 200 jurisdictions have a corporate tax rate of less than 30%. The tax system of the Republic of Georgia works favorably for individuals and businesses. In particular, income tax is 1% for individuals with an annual income of up to 500,000 Georgian Lari (GEL), or about $145,000, with 0% personal income tax on income from outside Georgia or from the resale of cryptocurrencies. The 15% corporate income tax is payable only after the dividends have been paid to the shareholders and the money has been received in the company`s bank account. Georgian legal persons are not taxed on the profits of foreign subsidiaries unless these subsidiaries are registered in tax havens. There are also income tax exemptions for IT companies that provide services outside of Georgia and "free industrial zones" that offer tax exemptions in Georgia. .