Andorra vs Germany
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π¦π© Andorra β Parish Taxes & Local Levies
Andorra's 7 parishes (parrΓ²quies) levy communal taxes including building and land taxes, commercial licence fees, and local service charges. Andorra only introduced a personal income tax (IRPF) in 2015 and corporate tax (IS) in 2012. This micro-state in the Pyrenees between France and Spain remains a significant tax haven due to very low VAT and no inheritance or capital gains tax. It has an Association Agreement with the EU.
π©πͺ Germany β Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 BundeslΓ€nder apply federal income tax rates uniformly β no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7β17% effective. Church tax (Kirchensteuer) of 8β9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
Andorra vs Germany: Key Tax Differences (2026)
π° Income Tax: π©πͺ Germany has a higher top income tax rate (0β10% vs 14β45%). π¦π© Andorra is more favourable for high earners.
π VAT/Sales Tax: Germany has a higher consumption tax (4.5% vs 7β19%).
π’ Corporate Tax: π¦π© Andorra offers a lower corporate rate (10% vs 29%), which can influence business location decisions.
π Capital Gains: π¦π© Andorra taxes investment gains at a lower rate (0% vs 25%), benefiting investors.