Italy vs Djibouti
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇮🇹 Italy — Regional & 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%.
🇩🇯 Djibouti — Djibouti Tax System
Djibouti has progressive income tax up to 30%. The country is strategically important as a maritime hub and hosts multiple foreign military bases (US, France, China, Italy, Japan), which provide significant lease revenue. The Port of Djibouti handles ~95% of Ethiopian imports/exports. VAT at 10% was introduced in 2009. Free trade zones offer tax exemptions.
Italy vs Djibouti: Key Tax Differences (2026)
💰 Income Tax: 🇮🇹 Italy has a higher top income tax rate (23–43% vs 0–30%). 🇩🇯 Djibouti is more favourable for high earners.
🛒 VAT/Sales Tax: Italy has a higher consumption tax (4–22% vs 10%).
🏢 Corporate Tax: 🇮🇹 Italy offers a lower corporate rate (24% vs 25%), which can influence business location decisions.
📈 Capital Gains: 🇩🇯 Djibouti taxes investment gains at a lower rate (25% vs 26%), benefiting investors.