Estonia vs Nicaragua
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ช๐ช 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%โ2.5% of assessed land value by municipalities.
๐ณ๐ฎ Nicaragua โ Municipal Taxes
Nicaragua's 153 municipalities levy the Impuesto de Matrรญcula (2% of prior revenues), Impuesto Municipal sobre Ingresos (IMI at 1% of monthly revenues), property tax (IBI at 1%), and service fees. Nicaragua under Ortega government has faced significant economic disruption from 2018 protests and subsequent international isolation. The economy has stabilized somewhat but remains one of the poorest in Central America. Tax administration reform has been ongoing with support from international institutions.
Estonia vs Nicaragua: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ณ๐ฎ Nicaragua has a higher top income tax rate (22% vs 0โ30%). ๐ช๐ช Estonia is more favourable for high earners.
๐ VAT/Sales Tax: Estonia has a higher consumption tax (9โ24% vs 15%).
๐ข Corporate Tax: ๐ช๐ช Estonia offers a lower corporate rate (22% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ณ๐ฎ Nicaragua taxes investment gains at a lower rate (15% vs 22%), benefiting investors.