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Brazil vs United States
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇧🇷 Brazil
vs
🇺🇸 United States
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–27.5%
Zero-rate up to R$5,000/mo fully effective
No change
10–37%
TCJA provisions extended; no sunset
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
~27.5% combined
IBS+CBS advancing; ICMS/ISS phasing out
-0.5pp vs 2025
0–11%
No federal sales tax; state avg ~6–9%
No change

Corporate Tax Rate

Corporate Tax Rate
34%
34% maintained; reform discussions ongoing
No change
21%
Federal flat; proposals to raise to 28% stalled
No change

Capital Gains Tax

Capital Gains Tax
15–22.5%
Offshore income now fully captured
No change
0–20%
+ 3.8% NIIT; thresholds inflation-adjusted
No change

Social Security & Payroll

Social Security / Payroll
~36%
Payroll simplification proposals ongoing
No change
~15.3%
SS wage base ~$180,000 est. 2026
No change
State, Regional & Local Taxes

🇧🇷 BrazilState & Municipal Taxes

Brazil has one of the world's most complex tax systems. States levy ICMS at 7%–18% varying by state. Municipalities levy ISS (services tax) at 2%–5% 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%.

🇺🇸 United StatesState & Local Taxes

The U.S. has 50 states each setting their own income tax (0%–13.3%). California tops at 13.3%, while Texas, Florida, and Nevada levy no state income tax. NYC adds its own income tax (up to 3.876%). Sales taxes vary from 0% (Oregon) to over 11% combined. Property taxes are primarily local. Some states like Washington have introduced capital gains levies.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Brazil vs United States: Key Tax Differences (2026)

💰 Income Tax: 🇺🇸 United States has a higher top income tax rate (0–27.5% vs 10–37%). 🇧🇷 Brazil is more favourable for high earners.

🛒 VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 0–11%).

🏢 Corporate Tax: 🇺🇸 United States offers a lower corporate rate (21% vs 34%), which can influence business location decisions.

📈 Capital Gains: 🇺🇸 United States taxes investment gains at a lower rate (20% vs 22.5%), benefiting investors.

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