Lithuania vs Italy
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
🇱🇹 Lithuania — Municipal Income Tax Supplement
Lithuania's 60 municipalities levy a local supplement on income tax — 68% of PIT revenue goes to municipalities, creating strong local fiscal capacity. Property tax (nekilnojamojo turto mokestis) is set at 0.5%–3% by municipalities on commercial property and at 0.5%–2% on residential property above €150K value. Vehicle registration tax is national. Lithuania switched to a progressive income tax in 2019, having previously had a flat 15% rate.
🇮🇹 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%.
Lithuania vs Italy: Key Tax Differences (2026)
💰 Income Tax: 🇮🇹 Italy has a higher top income tax rate (20–32% vs 23–43%). 🇱🇹 Lithuania is more favourable for high earners.
🛒 VAT/Sales Tax: Italy has a higher consumption tax (9–21% vs 4–22%).
🏢 Corporate Tax: 🇱🇹 Lithuania offers a lower corporate rate (15% vs 24%), which can influence business location decisions.
📈 Capital Gains: 🇱🇹 Lithuania taxes investment gains at a lower rate (20% vs 26%), benefiting investors.