Denmark vs Latvia
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇩🇰 Denmark — Municipal 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.
🇱🇻 Latvia — Municipal Income Tax
Latvia's 119 municipalities levy a local income tax portion — 80% of income tax goes to municipalities, 20% to the state. The effective split means municipalities directly benefit from local earnings. Property tax (nekustamā īpašuma nodoklis) is set by municipalities at 0.2%–3% of cadastral value. Latvia uses the progressive income tax system introduced in 2018 (replacing the flat 23%). Vehicle tax and business risk duty are national.
Denmark vs Latvia: Key Tax Differences (2026)
💰 Income Tax: 🇩🇰 Denmark has a higher top income tax rate (~55.9% vs 20–31%). 🇱🇻 Latvia is more favourable for high earners.
🛒 VAT/Sales Tax: Denmark has a higher consumption tax (25% vs 12–21%).
🏢 Corporate Tax: 🇱🇻 Latvia offers a lower corporate rate (20% vs 22%), which can influence business location decisions.
📈 Capital Gains: 🇱🇻 Latvia taxes investment gains at a lower rate (20% vs 42%), benefiting investors.