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Italy vs Guatemala
Tax Rate Comparison

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

🇮🇹 Italy
vs
🇬🇹 Guatemala
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
23–43%
3-bracket IRPEF reform targeting completion
No change
5–7%
Rates stable; revenue mobilization challenge
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
4–22%
Digital economy VAT rules tightening
No change
12%
12% IVA maintained
No change

Corporate Tax Rate

Corporate Tax Rate
24%
Investment incentive rate (20%) extended
No change
25–28%
25–28%; reform discussions
No change

Capital Gains Tax

Capital Gains Tax
26%
Flat 26% maintained
No change
10%
10% maintained
No change

Social Security & Payroll

Social Security / Payroll
~40%
Pension reform adjustments continuing
No change
~15.67%
IGSS; expanding coverage priority
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%.

🇬🇹 GuatemalaMunicipal Taxes

Guatemala's 340 municipalities levy the Impuesto Único sobre Inmuebles (IUSI — property tax at 0.9% of assessed value above GTQ 2,000), business licences (boleto de ornato), and vehicle stickers. Guatemala City municipality has the highest rates. The Superintendencia de Administración Tributaria (SAT) administers national taxes. Guatemala has among the lowest tax-to-GDP ratios in Latin America (~11–13%), reflecting significant informality and tax avoidance. Tax collection has been a persistent challenge.

⚠️ 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 Guatemala: Key Tax Differences (2026)

💰 Income Tax: 🇮🇹 Italy has a higher top income tax rate (23–43% vs 5–7%). 🇬🇹 Guatemala is more favourable for high earners.

🛒 VAT/Sales Tax: Italy has a higher consumption tax (4–22% vs 12%).

🏢 Corporate Tax: 🇮🇹 Italy offers a lower corporate rate (24% vs 28%), which can influence business location decisions.

📈 Capital Gains: 🇬🇹 Guatemala taxes investment gains at a lower rate (10% vs 26%), benefiting investors.

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