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Germany vs Laos
Tax Rate Comparison

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

πŸ‡©πŸ‡ͺ Germany
vs
πŸ‡±πŸ‡¦ Laos
Tax Year:

πŸ’° Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country β€” side by side.

Enter your annual income above to see your personal tax comparison β†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
14–45%
Basic allowance ~€12,336; bracket creep relief
No change
0–24%
24% top; debt restructuring affecting fiscal space
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
7–19%
Standard 19% unchanged
No change
10%
10% stable
No change
Corporate Tax Rate
Corporate Tax Rate
~29%
Coalition discussions on lowering to 25% ongoing
β–Ό -0.5pp vs 2025
20%
20%; SEZ incentives maintained
No change
Capital Gains Tax
Capital Gains Tax
25%
Investment income reform proposals under review
No change
10%
10% maintained
No change
Social Security & Payroll
Social Security / Payroll
~41.5%
Health insurance rising; pension base up
β–² +0.5pp vs 2025
~11.5%
NSSF expansion limited by fiscal constraints
No change
State, Regional & Local Taxes

πŸ‡©πŸ‡ͺ 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 ~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.

πŸ‡±πŸ‡¦ Laos β€” Provincial & District Taxes

Laos's 18 provinces and Vientiane Capital have provincial tax departments that administer national taxes locally, with some authority over land and building taxes. The Tax Department under the Ministry of Finance sets all national rates. Provincial governments retain a share of collected taxes for local expenditure. Laos has significant hydropower, mining (potash, gold), and tourism revenues. The country has faced severe debt difficulties since 2022 and is in debt restructuring with Chinese creditors. A VAT was introduced in 2010.

⚠️ 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 Laos: Key Tax Differences (2026)

πŸ’° Income Tax: πŸ‡©πŸ‡ͺ Germany has a higher top income tax rate (14–45% vs 0–24%). πŸ‡±πŸ‡¦ Laos is more favourable for high earners.

πŸ›’ VAT/Sales Tax: Germany has a higher consumption tax (7–19% vs 10%).

🏒 Corporate Tax: πŸ‡±πŸ‡¦ Laos offers a lower corporate rate (20% vs 29%), which can influence business location decisions.

πŸ“ˆ Capital Gains: πŸ‡±πŸ‡¦ Laos taxes investment gains at a lower rate (10% vs 25%), benefiting investors.

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