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Ethiopia vs Canada
Tax Rate Comparison

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

🇪🇹 Ethiopia
vs
🇨🇦 Canada
Tax Year:

💰 Personal Income Tax Calculator

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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
15–33%
Federal brackets; new govt may revisit top rates
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
15%
15% standard
No change
5–15%
GST/HST normalized after holiday period
No change

Corporate Tax Rate

Corporate Tax Rate
30%
30%; industrial parks offer incentives
No change
15%
15% federal; Global Minimum Tax active
No change

Capital Gains Tax

Capital Gains Tax
15%
15% maintained
No change
~33.3%
2/3 inclusion rate maintained
No change

Social Security & Payroll

Social Security / Payroll
~17%
Pension expansion targeted
No change
~12.3%
CPP contribution rates stabilizing
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.

🇨🇦 CanadaProvincial Income & Sales Taxes

Canada's 10 provinces each levy their own income tax (4%–25.75% top). Combined federal+provincial top rates exceed 50% in Quebec, Nova Scotia, and Ontario. Quebec has its own QPP and QST (9.975%). Alberta has no provincial sales tax. HST replaces GST+PST in Atlantic provinces and Ontario. Property taxes are municipal.

⚠️ 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 Canada: Key Tax Differences (2026)

💰 Income Tax: 🇪🇹 Ethiopia has a higher top income tax rate (0–35% vs 15–33%). 🇨🇦 Canada is more favourable for high earners.

🛒 VAT/Sales Tax: Both countries have comparable consumption tax rates (15% vs 5–15%).

🏢 Corporate Tax: 🇨🇦 Canada offers a lower corporate rate (15% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇪🇹 Ethiopia taxes investment gains at a lower rate (15% vs 33.3%), benefiting investors.

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All 🇪🇹 Ethiopia comparisons →All 🇨🇦 Canada comparisons →