WorldTax CompareAll Comparisons

Germany vs Bangladesh
Tax Rate Comparison

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

🇩🇪 Germany
vs
🇧🇩 Bangladesh
Tax Year:

💰 Personal Income Tax Calculator

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

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
14–45%
Basic allowance ~€12,336; bracket creep relief
No change
0–30%
LDC graduation adjustments; revenue mobilization priority
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
7–19%
Standard 19% unchanged
No change
15%
15% standard; digital economy VAT enforcement
No change

Corporate Tax Rate

Corporate Tax Rate
~29%
Coalition discussions on lowering to 25% ongoing
-0.5pp vs 2025
20–45%
Rates maintained; RMG sector retains export incentives
No change

Capital Gains Tax

Capital Gains Tax
25%
Investment income reform proposals under review
No change
15%
15% on securities
No change

Social Security & Payroll

Social Security / Payroll
~41.5%
Health insurance rising; pension base up
+0.5pp vs 2025
~3%
Social protection floor development post-LDC graduation
No change
State, Regional & Local Taxes

🇩🇪 GermanyTrade Tax (Gewerbesteuer) & Church Tax

Germany's 16 Bundesländer apply federal income tax rates uniformly — no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7–17% effective. Church tax (Kirchensteuer) of 8–9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.

🇧🇩 BangladeshLocal Government & Municipal Taxes

Bangladesh's 8 divisions, 64 districts, and 492 upazilas have limited tax powers. City corporations (like Dhaka, Chittagong) levy holding tax (property tax) on buildings at rates set by each corporation. Union Parishads collect land development taxes. The National Board of Revenue (NBR) administers income, VAT, and customs nationally. The garment sector (RMG) is a dominant export industry with special fiscal treatment. Bangladesh graduated from LDC status in 2026 with implications for trade preferences and tax policy.

⚠️ 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.

Germany vs Bangladesh: Key Tax Differences (2026)

💰 Income Tax: 🇩🇪 Germany has a higher top income tax rate (14–45% vs 0–30%). 🇧🇩 Bangladesh is more favourable for high earners.

🛒 VAT/Sales Tax: Germany has a higher consumption tax (7–19% vs 15%).

🏢 Corporate Tax: 🇩🇪 Germany offers a lower corporate rate (29% vs 45%), which can influence business location decisions.

📈 Capital Gains: 🇧🇩 Bangladesh taxes investment gains at a lower rate (15% vs 25%), benefiting investors.

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