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Ethiopia vs Brazil
Tax Rate Comparison

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

🇪🇹 Ethiopia
vs
🇧🇷 Brazil
Tax Year:

💰 Personal Income Tax Calculator

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

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–35%
Fiscal modernization continuing; bracket adjustments for inflation
No change
0–27.5%
Zero-rate up to R$5,000/mo fully effective
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
15%
15% standard
No change
~27.5% combined
IBS+CBS advancing; ICMS/ISS phasing out
-0.5pp vs 2025

Corporate Tax Rate

Corporate Tax Rate
30%
30%; industrial parks offer incentives
No change
34%
34% maintained; reform discussions ongoing
No change

Capital Gains Tax

Capital Gains Tax
15%
15% maintained
No change
15–22.5%
Offshore income now fully captured
No change

Social Security & Payroll

Social Security / Payroll
~17%
Pension expansion targeted
No change
~36%
Payroll simplification proposals ongoing
No change
State, Regional & Local Taxes

🇪🇹 EthiopiaRegional State Taxes

Ethiopia's 11 regional states and 2 chartered cities (Addis Ababa, Dire Dawa) have their own revenue authorities. Regional states collect income tax on employees of regional civil servants and businesses registered in their regions. Agricultural income tax is exclusively regional, though poorly collected in rural areas. The Ethiopian Revenues and Customs Authority (ERCA) administers federal taxes. Addis Ababa has the most developed tax administration. Turnover tax (TOT) of 2% applies to businesses below VAT threshold.

🇧🇷 BrazilState & Municipal Taxes

Brazil has one of the world's most complex tax systems. States levy ICMS at 7%–18% varying by state. Municipalities levy ISS (services tax) at 2%–5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.

⚠️ 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.

Ethiopia vs Brazil: Key Tax Differences (2026)

💰 Income Tax: 🇪🇹 Ethiopia has a higher top income tax rate (0–35% vs 0–27.5%). 🇧🇷 Brazil is more favourable for high earners.

🛒 VAT/Sales Tax: Brazil has a higher consumption tax (15% vs ~27.5% combined).

🏢 Corporate Tax: 🇪🇹 Ethiopia offers a lower corporate rate (30% vs 34%), which can influence business location decisions.

📈 Capital Gains: 🇪🇹 Ethiopia taxes investment gains at a lower rate (15% vs 22.5%), benefiting investors.

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All 🇪🇹 Ethiopia comparisons →All 🇧🇷 Brazil comparisons →