Djibouti vs Germany
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π©π― Djibouti β Djibouti Tax System
Djibouti has progressive income tax up to 30%. The country is strategically important as a maritime hub and hosts multiple foreign military bases (US, France, China, Italy, Japan), which provide significant lease revenue. The Port of Djibouti handles ~95% of Ethiopian imports/exports. VAT at 10% was introduced in 2009. Free trade zones offer tax exemptions.
π©πͺ Germany β Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 BundeslΓ€nder apply federal income tax rates uniformly β no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7β17% effective. Church tax (Kirchensteuer) of 8β9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
Djibouti vs Germany: Key Tax Differences (2026)
π° Income Tax: π©πͺ Germany has a higher top income tax rate (0β30% vs 14β45%). π©π― Djibouti is more favourable for high earners.
π VAT/Sales Tax: Germany has a higher consumption tax (10% vs 7β19%).
π’ Corporate Tax: π©π― Djibouti offers a lower corporate rate (25% vs 29%), which can influence business location decisions.