WorldTax Compareโ† All Comparisons

Denmark vs Estonia
Tax Rate Comparison

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

๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark
vs
๐Ÿ‡ช๐Ÿ‡ช Estonia
Tax Year:

๐Ÿ’ฐ Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country โ€” side by side.

Enter your annual income above to see your personal tax comparison โ†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
~55.9%
Among world's highest; stable
No change
22%
22% national + local supplement; defence spending driving rate increases
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
25%
No change; EU digital VAT rules expanding
No change
9โ€“24%
24% standard; defence-driven fiscal pressure
No change
Corporate Tax Rate
Corporate Tax Rate
22%
Stable; defence spending debate may affect future rates
No change
22%
22% on distributed profits; retained earnings still 0%
No change
Capital Gains Tax
Capital Gains Tax
27โ€“42%
Progressive rates maintained
No change
22%
22% as income
No change
Social Security & Payroll
Social Security / Payroll
~8%
Labour market contributions stable
No change
~33%
33% social tax maintained; III pillar voluntary pension growing
No change
State, Regional & Local Taxes

๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark โ€” Municipal Income Tax

Denmark's 98 municipalities set local income tax (kommuneskat) at ~22.8%โ€“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 ~55โ€“56% effective top. Church tax (~0.7%) applies to members. Property value tax is nationally set.

๐Ÿ‡ช๐Ÿ‡ช Estonia โ€” Local Income Tax Supplement

Estonia's 79 local governments levy a local income tax supplement of 11.4% of taxable income (2024), collected alongside the national 20% income tax. Together these form the effective total income tax. Estonia's unique fully distributed profit taxation system means companies pay no corporate income tax on retained earnings โ€” only on distributed profits (dividends). This has driven significant foreign investment. Land tax (maamaks) is levied at 0.1%โ€“2.5% of assessed land value by municipalities.

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

Denmark vs Estonia: Key Tax Differences (2026)

๐Ÿ’ฐ Income Tax: ๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark has a higher top income tax rate (~55.9% vs 22%). ๐Ÿ‡ช๐Ÿ‡ช Estonia is more favourable for high earners.

๐Ÿ›’ VAT/Sales Tax: Denmark has a higher consumption tax (25% vs 9โ€“24%).

๐Ÿข Corporate Tax: Corporate rates are similar in both countries (22% vs 22%).

๐Ÿ“ˆ Capital Gains: ๐Ÿ‡ช๐Ÿ‡ช Estonia taxes investment gains at a lower rate (22% vs 42%), benefiting investors.

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