Germany vs Hong Kong
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©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.
ππ° Hong Kong β No Sub-Regional Tax Variation
Hong Kong is a Special Administrative Region with a simple, low-tax structure. There are no sub-regional taxes. Profits tax applies only to profits arising in or derived from Hong Kong (territorial basis). Property rates are charged at ~5% of assessed rental value. Estate duty was abolished in 2006. Stamp duty on property has been progressively modified since 2022 to cool/stimulate the market. There is no VAT, capital gains tax, or withholding tax on dividends.
Germany vs Hong Kong: Key Tax Differences (2026)
π° Income Tax: π©πͺ Germany has a higher top income tax rate (14β45% vs 2β17%). ππ° Hong Kong is more favourable for high earners.
π VAT/Sales Tax: Germany has a higher consumption tax (7β19% vs 0%).
π’ Corporate Tax: ππ° Hong Kong offers a lower corporate rate (16.5% vs 29%), which can influence business location decisions.
π Capital Gains: ππ° Hong Kong taxes investment gains at a lower rate (0% vs 25%), benefiting investors.