Germany vs Nepal
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.
π³π΅ Nepal β Province & Local Government Taxes
Nepal's 7 provinces and 753 local governments (metropolitan, sub-metropolitan, municipal, and rural municipal) have significant constitutional taxing powers under the 2015 federal constitution. Local governments levy entertainment tax, advertisement tax, house/land registration tax, and tourism fees. Provinces can levy vehicle tax and some business taxes. The Inland Revenue Department (IRD) administers federal taxes. Nepal's tax system has evolved significantly under federalism since 2017.
Germany vs Nepal: Key Tax Differences (2026)
π° Income Tax: π©πͺ Germany has a higher top income tax rate (14β45% vs 1β36%). π³π΅ Nepal is more favourable for high earners.
π VAT/Sales Tax: Germany has a higher consumption tax (7β19% vs 13%).
π’ Corporate Tax: π³π΅ Nepal offers a lower corporate rate (25% vs 29%), which can influence business location decisions.
π Capital Gains: π³π΅ Nepal taxes investment gains at a lower rate (10% vs 25%), benefiting investors.