Taxes are the main source of replenishment of state funds. Throughout the history of mankind, they have been called differently, but no one has yet come up with an alternative to them.
In the first known human civilization, in Mesopotamia, taxes were taken in kind, livestock and grain, then, with the development of the economy, payments began to be charged in monetary terms. Taxes remain the foundation of the state economy, and there is no getting around it.
However, giving back what you acquired through your own labor is not so pleasant. And people now and then glance at other countries: how are they? We will talk about ten countries in which the lowest taxes in the world. The percentage is calculated from the income of the resident and includes all payments, including those made by the employer.
List
- 10. Canada, 31.4%
- 9. Great Britain, 30.8%
- 8. Australia, 28.6%
- 7. Ireland, 27.1%
- 6. South Korea, 22.2%
- 5. Israel, 22.1%
- 4. Switzerland, 21.8%
- 3. Mexico, 20.1%
- 2. New Zealand, 17.9%
- 1. Chile, 7%
10. Canada, 31.4%
Canada considered a country with one of the highest living standards in the world. The government succeeded in building such a system of social protection thanks to taxes; they make up more than 80% of the state budget.
All residents of Canada who receive income, as well as foreign citizens who are in Canada for more than 183 days and receive a salary, are required to pay taxes.
Income tax in Canada is called federal, and its percentage depends on the level of salary: the higher the income, the more taxes a citizen pays.
The tax law provides for benefits. For example, veterans, disabled people, pensioners, temporarily unemployed and other categories of people can use the simplified system.
9. Great Britain, 30.8%
IN Great Britain also use a progressive tax system. This means that the amount of tax depends on the income received.
The difference is that in this country there is a lower border, the minimum income at which payments are not charged. In 2019, he amounted to 12 thousand pounds per year. If all the citizen's income (salary, bonuses, remuneration, rent, dividends) did not exceed this amount, then he does not pay anything, and the remaining interest, 13.8%, is paid by the employer. Exceeding the minimum amount of income increases and the tax rate.
The tax system in the UK is simple and transparent, which attracts taxpayers and enriches the treasury of the state.
8. Australia, 28.6%
Australia - Another state with a progressive tax system. It is not surprising, because this country has borrowed a lot from its former colonialists. When applying for a job, the applicant is informed of the annual salary before deductions. Taxes depend on income and average 24-26%. Another 2% will have to be paid for health insurance.
To apply for a job, you must have a tax number, an analogue of our TIN. If it is not, then up to 50% will be withheld from taxes. The employer is responsible for all payments. At the end of the billing year, the employee receives a document in his hands, which indicates the amount of salary received and the tax paid.
Many at the end of the year receive a tax deduction, since during the year a higher percentage is usually deducted, which is returned after the conversion.
7. Ireland, 27.1%
Ireland known for its loyal tax policy and benefits that can be used by different segments of the population. The principle of taxation sounds like “pay how much you earned».
The rate varies depending on the level of income, and for single residents of the country, it is set at around 32,800 euros per year. If the salary does not exceed this amount, then you need to pay only 20%. And a little over 40% of the excess.
For married citizens, the minimum amount is doubled and amounts to just over 65,000 euros. You will also have to pay a social fee, the percentage of which depends on the level of income and ranges from 2 to 7%.
Ireland is a tax haven for artists and so-called self-employed citizens: in this country they are exempt from taxes.
6. South Korea, 22.2%
Once upon a time South Korea was one of the poorest countries in the world. But now, thanks to the rapid growth of industry, South Korea has reached a new level. She constantly needs skilled workers and specialists and is ready to offer a good salary, coupled with an original, but attractive business ethics.
No less attractive is the tax system in this country. As in many other states, the percentage of tax directly depends on the level of income. Depending on the salary, the Korean pays the state from 6 to 33% per month, but the average figure is 20%, including social payments.
5. Israel, 22.1%
The Israeli tax system is based on the British, which has worked well in the Foggy Albion. The Israeli government began to introduce it back in the middle of the 20th century, and since then the system has undergone periodic changes that improve it.
In this country, private persons pay income tax: employees and entrepreneurs. Moreover, the percentage depends on the level of income. The government made attempts to increase taxes, which led to a sharp decrease in the level of wages; therefore, a 6-step tax system was developed.
The poorest Of Israel they pay only 10% of the salary, the richest people - 50% of all income. The average percentage of taxes was established at around 22.1%.
4. Switzerland, 21.8%
IN Switzerland pay taxes are required for all persons residing on its territory regularly or more than 183 days. Foreign citizens who somehow earn on the territory of the state (for example, by renting housing) pay a fee.
In Switzerland, a progressive tax system, the percentage depends on the level of income. Moreover, each canton (administrative unit) has the right to set its own percentage. So, for example, the minimum rate is registered in the territories of Appenzell-Auserroden and Obwalden, the maximum - in Basel-Stadt. The average interest rate is 21.8%.
3. Mexico, 20.1%
The line between different types of taxes in Mexico pretty thin. They are required to pay all residents who receive any income: regular transfers of money to the card, salary, income from business.
Thus, having an apartment in Mexico, a person is obliged to pay property tax, but if he starts renting it out, he will turn into a businessman and will pay tax on income from entrepreneurship.
The system there is also progressive, and for the poorest segments of the population, the percentage is about 3%, taking into account all bonuses and payments. But on average, this figure was set at around 20%.
2. New Zealand, 17.9%
Tax system in New Zealand very flexible, and the percentage depends on both the level of income and the period for which payments are made. Therefore, to say that the entire population without paying 17.9% is impossible, this is an average figure.
New Zealand has four levels of tax rates, which are 10%, 17.5%, 30%, 33%. Obviously, the last two figures refer to the smallest most affluent layer of society.
There is a separate rate for those who have not received a tax number (an analogue of the Russian TIN), such people are required to deduct up to 45% of income to the state treasury.
1. Chile, 7%
IN Chile taxpayers fall into two categories. The first includes those who receive income from deposits, stocks and business. They pay 25-27% of their profits. The second category is self-employed citizens. They pay tax based on income.
The richest segments of the population can give up to 40% of profits to the treasury, but on average tax collections amount to 4-8% of wages. They are collected by the employer and include pension contributions, insurance contributions, including medical, as well as special contributions, for example, trade union.