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Italy vs Bangladesh
Tax Rate Comparison

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

🇮🇹 Italy
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
23–43%
3-bracket IRPEF reform targeting completion
No change
0–30%
LDC graduation adjustments; revenue mobilization priority
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
4–22%
Digital economy VAT rules tightening
No change
15%
15% standard; digital economy VAT enforcement
No change

Corporate Tax Rate

Corporate Tax Rate
24%
Investment incentive rate (20%) extended
No change
20–45%
Rates maintained; RMG sector retains export incentives
No change

Capital Gains Tax

Capital Gains Tax
26%
Flat 26% maintained
No change
15%
15% on securities
No change

Social Security & Payroll

Social Security / Payroll
~40%
Pension reform adjustments continuing
No change
~3%
Social protection floor development post-LDC graduation
No change
State, Regional & Local Taxes

🇮🇹 ItalyRegional & Municipal Income Taxes

Italy's 20 regions levy addizionale regionale at 0.7%–3.33%. Municipalities add addizionale comunale up to 0.9%. Sicily, Sardinia, and Trentino-Alto Adige have special autonomous status. IRAP (regional business tax) at ~3.9% applies to businesses. Local property tax (IMU) is set by municipalities on investment properties. Cumulative marginal rates can exceed 50%.

🇧🇩 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.

Italy vs Bangladesh: Key Tax Differences (2026)

💰 Income Tax: 🇮🇹 Italy has a higher top income tax rate (23–43% vs 0–30%). 🇧🇩 Bangladesh is more favourable for high earners.

🛒 VAT/Sales Tax: Italy has a higher consumption tax (4–22% vs 15%).

🏢 Corporate Tax: 🇮🇹 Italy offers a lower corporate rate (24% vs 45%), which can influence business location decisions.

📈 Capital Gains: 🇧🇩 Bangladesh taxes investment gains at a lower rate (15% vs 26%), benefiting investors.

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