Brazil vs Guatemala
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§π· Brazil β State & Municipal Taxes
Brazil has one of the world's most complex tax systems. States levy ICMS at 7%β18% varying by state. Municipalities levy ISS (services tax) at 2%β5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.
π¬πΉ Guatemala β Municipal Taxes
Guatemala's 340 municipalities levy the Impuesto Γnico sobre Inmuebles (IUSI β property tax at 0.9% of assessed value above GTQ 2,000), business licences (boleto de ornato), and vehicle stickers. Guatemala City municipality has the highest rates. The Superintendencia de AdministraciΓ³n Tributaria (SAT) administers national taxes. Guatemala has among the lowest tax-to-GDP ratios in Latin America (~11β13%), reflecting significant informality and tax avoidance. Tax collection has been a persistent challenge.
Brazil vs Guatemala: Key Tax Differences (2026)
π° Income Tax: π§π· Brazil has a higher top income tax rate (0β27.5% vs 5β7%). π¬πΉ Guatemala is more favourable for high earners.
π VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 12%).
π’ Corporate Tax: π¬πΉ Guatemala offers a lower corporate rate (28% vs 34%), which can influence business location decisions.
π Capital Gains: π¬πΉ Guatemala taxes investment gains at a lower rate (10% vs 22.5%), benefiting investors.