Bhutan vs Ethiopia
Tax Rate Comparison
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π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π§πΉ Bhutan β Dzongkhag & Thromde Taxes
Bhutan's 20 dzongkhags (districts) and thromdes (municipalities) levy local land tax, cattle tax, and local fees. Bhutan is a constitutional monarchy pursuing Gross National Happiness over GDP. Corporate and business income taxes are primary revenue sources; personal income tax is minimal for most citizens given the country's structure. Bhutan has major hydropower export revenues from India and has become notable for state-enterprise cryptocurrency mining. The country is transitioning toward more market-oriented development with LDC graduation aspirations.
πͺπΉ Ethiopia β Regional State Taxes
Ethiopia's 11 regional states and 2 chartered cities (Addis Ababa, Dire Dawa) have their own revenue authorities. Regional states collect income tax on employees of regional civil servants and businesses registered in their regions. Agricultural income tax is exclusively regional, though poorly collected in rural areas. The Ethiopian Revenues and Customs Authority (ERCA) administers federal taxes. Addis Ababa has the most developed tax administration. Turnover tax (TOT) of 2% applies to businesses below VAT threshold.
Bhutan vs Ethiopia: Key Tax Differences (2026)
π° Income Tax: πͺπΉ Ethiopia has a higher top income tax rate (0β25% vs 0β35%). π§πΉ Bhutan is more favourable for high earners.
π VAT/Sales Tax: Ethiopia has a higher consumption tax (0% vs 15%).
π’ Corporate Tax: Corporate rates are similar in both countries (30% vs 30%).
π Capital Gains: π§πΉ Bhutan taxes investment gains at a lower rate (0% vs 15%), benefiting investors.