Iceland vs Slovakia
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฎ๐ธ Iceland โ Municipal Income Tax
Iceland's 69 municipalities set their own local income tax rates, ranging from ~12.44% to ~14.52%, averaging ~14.45%. This is added to the national income tax. The combined effective rate for most earners is about 36.94% (national + municipal). Iceland has no inheritance tax on direct heirs. Real estate transfer tax (stimpilgjald) is 0.8% on property transfers. Iceland is not an EU member but belongs to the EEA, affecting VAT and trade rules.
๐ธ๐ฐ Slovakia โ Municipal Property & Business Taxes
Slovakia's 79 districts and 2,927 municipalities have limited taxing powers. Municipalities set property tax (daล z nehnuteฤพnostรญ) within nationally defined limits and may apply local coefficients. Commercial property tax in Bratislava is higher than rural areas. Vehicle tax is set regionally. A local fee for municipal waste applies. Slovakia uses a progressive income tax system since abandoning its flat 19% rate in 2013. The 15% CIT rate for SMEs is one of the EU's most competitive.
Iceland vs Slovakia: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฎ๐ธ Iceland has a higher top income tax rate (~36.94% vs 19โ25%). ๐ธ๐ฐ Slovakia is more favourable for high earners.
๐ VAT/Sales Tax: Iceland has a higher consumption tax (11โ24% vs 5โ20%).
๐ข Corporate Tax: ๐ฎ๐ธ Iceland offers a lower corporate rate (20% vs 21%), which can influence business location decisions.
๐ Capital Gains: ๐ฎ๐ธ Iceland taxes investment gains at a lower rate (22% vs 25%), benefiting investors.