Total tax rate (% of commercial profits) - Country Ranking

Definition: Total tax rate measures the amount of taxes and mandatory contributions payable by businesses after accounting for allowable deductions and exemptions as a share of commercial profits. Taxes withheld (such as personal income tax) or collected and remitted to tax authorities (such as value added taxes, sales taxes or goods and service taxes) are excluded.

Source: World Bank, Doing Business project (http://www.doingbusiness.org/).

See also: Thematic map, Time series comparison

Find indicator:
Rank Country Value Year
1 Comoros 219.60 2019
2 Argentina 106.30 2019
3 Bolivia 83.70 2019
3 Eritrea 83.70 2019
5 Equatorial Guinea 79.40 2019
6 Palau 76.60 2019
7 Venezuela 73.30 2019
7 Central African Republic 73.30 2019
9 Afghanistan 71.40 2019
10 Colombia 71.20 2019
11 Guinea 69.30 2019
12 Tajikistan 67.30 2019
13 Mauritania 67.00 2019
14 Algeria 66.10 2019
15 Brazil 65.10 2019
16 Puerto Rico 64.40 2019
17 Chad 63.50 2019
18 Tunisia 60.70 2019
18 France 60.70 2019
20 Nicaragua 60.60 2019
21 China 59.20 2019
22 Italy 59.10 2019
23 Costa Rica 58.30 2019
24 Cameroon 57.70 2019
25 Ghana 55.40 2019
25 Belgium 55.40 2019
27 Sri Lanka 55.20 2019
28 Mexico 55.10 2019
29 Mali 54.50 2019
30 Congo 54.30 2019
31 Belarus 53.30 2019
32 Greece 51.90 2019
33 Austria 51.40 2019
34 Dem. Rep. Congo 50.70 2019
35 Côte d'Ivoire 50.10 2019
36 India 49.70 2019
36 St. Kitts and Nevis 49.70 2019
36 Slovak Republic 49.70 2019
39 Sweden 49.10 2019
39 Angola 49.10 2019
41 Benin 48.90 2019
42 Germany 48.80 2019
42 Dominican Republic 48.80 2019
44 The Gambia 48.40 2019
45 Togo 48.20 2019
46 Estonia 47.80 2019
46 Grenada 47.80 2019
48 Australia 47.40 2019
49 Niger 47.20 2019
50 Gabon 47.10 2019
51 Spain 47.00 2019
52 Japan 46.70 2019
53 Liberia 46.20 2019
53 Russia 46.20 2019
55 Czech Republic 46.10 2019
56 Morocco 45.80 2019
57 Guinea-Bissau 45.50 2019
58 Sudan 45.40 2019
59 Ukraine 45.20 2019
60 Senegal 44.80 2019
61 Iran 44.70 2019
62 Egypt 44.40 2019
63 Malta 44.00 2019
64 Tanzania 43.80 2019
65 Philippines 43.10 2019
66 Antigua and Barbuda 43.00 2019
67 Haiti 42.70 2019
67 Syrian Arab Republic 42.70 2019
69 Lithuania 42.60 2019
70 Turkey 42.30 2019
71 Uruguay 41.80 2019
71 Nepal 41.80 2019
73 Burkina Faso 41.30 2019
74 Burundi 41.20 2019
74 Netherlands 41.20 2019
76 Poland 40.80 2019
77 Azerbaijan 40.70 2019
78 Trinidad and Tobago 40.50 2019
79 Portugal 39.80 2019
80 Honduras 39.10 2019
81 Malaysia 38.70 2019
81 Moldova 38.70 2019
83 Madagascar 38.30 2019
84 Latvia 38.10 2019
85 Hungary 37.90 2019
85 Djibouti 37.90 2019
87 Ethiopia 37.70 2019
88 Vietnam 37.60 2019
89 Cabo Verde 37.50 2019
90 Kenya 37.20 2019
90 Panama 37.20 2019
92 Papua New Guinea 37.10 2019
93 St. Vincent and the Grenadines 37.00 2019
93 São Tomé and Principe 37.00 2019
95 Peru 36.80 2019
96 United States 36.60 2019
96 Serbia 36.60 2019
96 Finland 36.60 2019
96 Albania 36.60 2019
100 El Salvador 36.40 2019
101 Norway 36.20 2019
101 San Marino 36.20 2019
103 Mozambique 36.10 2019
104 Eswatini 35.80 2019
105 Barbados 35.60 2019
106 Bhutan 35.30 2019
107 Guatemala 35.20 2019
108 Jamaica 35.10 2019
109 Paraguay 35.00 2019
110 Nigeria 34.80 2019
111 St. Lucia 34.70 2019
112 New Zealand 34.60 2019
113 Malawi 34.50 2019
114 Ecuador 34.40 2019
115 Chile 34.00 2019
116 Pakistan 33.90 2019
117 The Bahamas 33.80 2019
118 Uganda 33.70 2019
119 Bangladesh 33.40 2019
120 Rwanda 33.20 2019
120 Korea 33.20 2019
122 Kiribati 32.70 2019
123 Libya 32.60 2019
123 Dominica 32.60 2019
125 Lebanon 32.20 2019
126 Fiji 32.10 2019
127 Solomon Islands 32.00 2019
128 Iceland 31.90 2019
129 Uzbekistan 31.60 2019
129 Zimbabwe 31.60 2019
131 Myanmar 31.20 2019
132 Belize 31.10 2019
133 Slovenia 31.00 2019
134 Iraq 30.80 2019
135 Sierra Leone 30.70 2019
136 Guyana 30.60 2019
136 United Kingdom 30.60 2019
138 Seychelles 30.10 2019
138 Indonesia 30.10 2019
140 Thailand 29.50 2019
141 South Africa 29.20 2019
142 Kyrgyz Republic 29.00 2019
143 Switzerland 28.80 2019
144 Jordan 28.60 2019
145 Kazakhstan 28.40 2019
146 Bulgaria 28.30 2019
147 Suriname 27.90 2019
148 Tonga 27.50 2019
149 Oman 27.40 2019
150 Yemen 26.60 2019
151 Ireland 26.10 2019
152 Mongolia 25.70 2019
153 Israel 25.30 2019
154 Botswana 25.10 2019
155 Canada 24.50 2019
156 Lao PDR 24.10 2019
157 Denmark 23.80 2019
158 Bosnia and Herzegovina 23.70 2019
159 Cambodia 23.10 2019
160 Armenia 22.60 2019
161 Cyprus 22.40 2019
162 Mauritius 22.20 2019
162 Montenegro 22.20 2019
164 Hong Kong SAR, China 21.90 2019
165 Liechtenstein 21.60 2019
166 Singapore 21.00 2019
167 Namibia 20.70 2019
168 Croatia 20.50 2019
169 Luxembourg 20.40 2019
170 Romania 20.00 2019
171 Samoa 19.30 2019
172 Timor-Leste 17.30 2019
173 United Arab Emirates 15.90 2019
174 Saudi Arabia 15.70 2019
175 Zambia 15.60 2019
176 Bahrain 13.80 2019
177 Lesotho 13.60 2019
178 North Macedonia 13.00 2019
178 Kuwait 13.00 2019
180 Qatar 11.30 2019
181 Georgia 9.90 2019
182 Vanuatu 8.50 2019
183 Brunei 8.00 2019

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Development Relevance: The total tax rate payable by businesses provides a comprehensive measure of the cost of all the taxes a business bears. It differs from the statutory tax rate, which is the factor applied to the tax base. In computing business tax rates, actual tax payable is divided by commercial profit. Taxes are the main source of revenue for most governments. The sources of tax revenue and their relative contributions are determined by government policy choices about where and how to impose taxes and by changes in the structure of the economy. Tax policy may reflect concerns about distributional effects, economic efficiency (including corrections for externalities), and the practical problems of administering a tax system. There is no ideal level of taxation. But taxes influence incentives and thus the behavior of economic actors and the economy's competitiveness.

Limitations and Exceptions: To make the data comparable across countries, several assumptions are made about businesses. The main assumptions are that they are limited liability companies, they operate in the country's most populous city, they are domestically owned, they perform general industrial or commercial activities, and they have certain levels of start-up capital, employees, and turnover. The Doing Business methodology on business taxes is consistent with the Total Tax Contribution framework developed by PricewaterhouseCoopers (now PwC), which measures the taxes that are borne by companies and that affect their income statements. However, PwC bases its calculation on data from the largest companies in the economy, while Doing Business focuses on a standardized medium-size company.

Statistical Concept and Methodology: The data covering taxes payable by businesses, measure all taxes and contributions that are government mandated (at any level - federal, state, or local), apply to standardized businesses, and have an impact in their income statements. The taxes covered go beyond the definition of a tax for government national accounts (compulsory, unrequited payments to general government) and also measure any imposts that affect business accounts. The main differences are in labor contributions and value added taxes. The data account for government-mandated contributions paid by the employer to a requited private pension fund or workers insurance fund but exclude value added taxes because they do not affect the accounting profits of the business - that is, they are not reflected in the income statement.

Aggregation method: Unweighted average

Periodicity: Annual

General Comments: Data are presented for the survey year instead of publication year.