Luxembourg vs Malawi
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฑ๐บ Luxembourg โ 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%โ400% = effective 6โ10.5%), 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.
๐ฒ๐ผ Malawi โ District & City Councils
Malawi's 28 district councils and city/town assemblies levy property rates, trading licences, and local service charges. The Malawi Revenue Authority (MRA) administers national taxes. Malawi is landlocked and one of the world's poorest countries โ highly dependent on tobacco exports (declining due to health campaigns), tea, and sugar, plus significant international aid. An IMF Extended Credit Facility has been supporting fiscal consolidation. The kwacha has experienced significant depreciation, complicating tax bracket real values over time.
Luxembourg vs Malawi: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฑ๐บ Luxembourg has a higher top income tax rate (0โ42% vs 0โ35%). ๐ฒ๐ผ Malawi is more favourable for high earners.
๐ VAT/Sales Tax: Both countries have comparable consumption tax rates (3โ17% vs 16.5%).
๐ข Corporate Tax: ๐ฑ๐บ Luxembourg offers a lower corporate rate (24.94% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ฒ๐ผ Malawi taxes investment gains at a lower rate (30% vs 42%), benefiting investors.