WorldTax Compare← All Comparisons

Luxembourg vs Croatia
Tax Rate Comparison

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

🇱🇺 Luxembourg
vs
🇭🇷 Croatia
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
0–42%
Tax reform package continuing; thresholds indexed
No change
20–30%
Stable; further reform to simplify surtax system
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
3–17%
Standard 17% maintained
No change
5–25%
25% standard; EU VAT reform compliance
No change

Corporate Tax Rate

Corporate Tax Rate
~24.94%
Global minimum tax fully embedded in domestic law
No change
10–18%
Competitiveness maintained; Pillar Two active
No change

Capital Gains Tax

Capital Gains Tax
0–42%
No major reform
No change
10%
10% short-term; 0% long-term maintained
No change

Social Security & Payroll

Social Security / Payroll
~27%
Pension reform discussions; contribution structure stable
No change
~36.5%
Contribution reforms continuing
No change
State, Regional & Local Taxes

🇱🇺 Luxembourg — Municipal Business & Property Taxes

Luxembourg's 102 communes levy the Gewerbesteuer (business tax) on companies at rates set by each commune (base rate 3% + municipal multiplier 175%–400% = effective 6–10.5%), and communal income tax additionals on individuals. Luxembourg City has higher rates than rural communes. The combined corporate tax (national + municipal) ranges from ~24.9% to ~26.01%. Luxembourg is a major holding company and fund domicile jurisdiction with extensive tax treaty networks.

🇭🇷 Croatia — County & Municipal Surtax

Croatia's 20 counties (županije) and 556 local government units levy prirez (surtax) on income tax of 0%–18%. Zagreb applies the maximum 18% surtax. The surtax is calculated on the national income tax liability. Property transfer tax is 3% on real estate. Municipalities may levy local fees. Croatia adopted the euro in 2023, replacing the kuna. The abolition of the second income tax bracket (36%) in 2024 simplified the system considerably.

⚠️ 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.

Luxembourg vs Croatia: Key Tax Differences (2026)

💰 Income Tax: 🇱🇺 Luxembourg has a higher top income tax rate (0–42% vs 20–30%). 🇭🇷 Croatia is more favourable for high earners.

🛒 VAT/Sales Tax: Croatia has a higher consumption tax (3–17% vs 5–25%).

🏢 Corporate Tax: 🇭🇷 Croatia offers a lower corporate rate (18% vs 24.94%), which can influence business location decisions.

📈 Capital Gains: 🇭🇷 Croatia taxes investment gains at a lower rate (10% vs 42%), benefiting investors.

Related Comparisons

🇱🇺 Luxembourg vs 🇧🇪 BelgiumTax comparison🇱🇺 Luxembourg vs 🇨🇦 CanadaTax comparison🇱🇺 Luxembourg vs 🇫🇷 FranceTax comparison🇱🇺 Luxembourg vs 🇩🇪 GermanyTax comparison🇱🇺 Luxembourg vs 🇮🇪 IrelandTax comparison🇱🇺 Luxembourg vs 🇳🇱 NetherlandsTax comparison🇱🇺 Luxembourg vs 🇨🇭 SwitzerlandTax comparison🇱🇺 Luxembourg vs 🇬🇧 United KingdomTax comparison🇱🇺 Luxembourg vs 🇺🇸 United StatesTax comparison🇱🇺 Luxembourg vs 🇦🇱 AlbaniaTax comparison🇱🇺 Luxembourg vs 🇧🇾 BelarusTax comparison🇱🇺 Luxembourg vs 🇧🇦 Bosnia and HerzegovinaTax comparison
All 🇱🇺 Luxembourg comparisons →All 🇭🇷 Croatia comparisons →