WorldTax CompareAll Comparisons

Denmark vs Cyprus
Tax Rate Comparison

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

🇩🇰 Denmark
vs
🇨🇾 Cyprus
Tax Year:

💰 Personal Income Tax Calculator

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

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
~55.9%
Among world's highest; stable
No change
0–35%
35% top; non-dom regime reviewed but maintained
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
25%
No change; EU digital VAT rules expanding
No change
5–19%
19% standard maintained
No change

Corporate Tax Rate

Corporate Tax Rate
22%
Stable; defence spending debate may affect future rates
No change
12.5%
12.5% competitive; IP Box reform for Pillar Two compliance
No change

Capital Gains Tax

Capital Gains Tax
27–42%
Progressive rates maintained
No change
20%
20% immovable property; shares exempt
No change

Social Security & Payroll

Social Security / Payroll
~8%
Labour market contributions stable
No change
~23.8%
GeSY system bedding in; contribution rates stable
No change
State, Regional & Local Taxes

🇩🇰 DenmarkMunicipal Income Tax

Denmark's 98 municipalities set local income tax (kommuneskat) at ~22.8%–27.8%. The national state tax adds 15% (top bracket). Combined rates including AM contribution (8% of gross) make Denmark one of the world's highest-tax nations at ~55–56% effective top. Church tax (~0.7%) applies to members. Property value tax is nationally set.

🇨🇾 CyprusMunicipal & Community Taxes

Cyprus's 5 districts and 30+ municipalities/communities levy local taxes including immovable property tax (at municipal level after national IPT was abolished in 2017), refuse collection fees, and business licences. Nicosia and Limassol have the highest municipal charges. Cyprus is a major international financial centre offering non-dom status (no tax on dividends/interest for non-domiciled residents for 17 years), which attracts wealthy individuals. The IP Box regime offers 2.5% effective tax on qualifying IP income.

⚠️ 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.

Denmark vs Cyprus: Key Tax Differences (2026)

💰 Income Tax: 🇩🇰 Denmark has a higher top income tax rate (~55.9% vs 0–35%). 🇨🇾 Cyprus is more favourable for high earners.

🛒 VAT/Sales Tax: Denmark has a higher consumption tax (25% vs 5–19%).

🏢 Corporate Tax: 🇨🇾 Cyprus offers a lower corporate rate (12.5% vs 22%), which can influence business location decisions.

📈 Capital Gains: 🇨🇾 Cyprus taxes investment gains at a lower rate (20% vs 42%), benefiting investors.

Related Comparisons

🇩🇰 Denmark vs 🇨🇦 CanadaTax comparison🇩🇰 Denmark vs 🇫🇮 FinlandTax comparison🇩🇰 Denmark vs 🇩🇪 GermanyTax comparison🇩🇰 Denmark vs 🇮🇸 IcelandTax comparison🇩🇰 Denmark vs 🇮🇪 IrelandTax comparison🇩🇰 Denmark vs 🇳🇱 NetherlandsTax comparison🇩🇰 Denmark vs 🇳🇴 NorwayTax comparison🇩🇰 Denmark vs 🇸🇪 SwedenTax comparison🇩🇰 Denmark vs 🇬🇧 United KingdomTax comparison🇩🇰 Denmark vs 🇺🇸 United StatesTax comparison🇩🇰 Denmark vs 🇦🇱 AlbaniaTax comparison🇩🇰 Denmark vs 🇧🇾 BelarusTax comparison
All 🇩🇰 Denmark comparisons →All 🇨🇾 Cyprus comparisons →