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Malawi vs Latvia
Tax Rate Comparison

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

🇲🇼 Malawi
vs
🇱🇻 Latvia
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
0–35%
35% top; IMF program conditions
No change
20–31%
31% top; NATO spending affecting fiscal balance
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
16.5%
16.5% VAT maintained
No change
12–21%
21% standard maintained
No change

Corporate Tax Rate

Corporate Tax Rate
30%
30%; mining sector developing
No change
20%
20% distributed profits; Pillar Two active
No change

Capital Gains Tax

Capital Gains Tax
30%
30% CGT maintained
No change
20%
20% as income
No change

Social Security & Payroll

Social Security / Payroll
~10%
MASM; pension coverage expanding
No change
~35.09%
Contribution rates stable; pension II pillar growing
No change
State, Regional & Local Taxes

🇲🇼 MalawiDistrict & 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 — 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.

🇱🇻 LatviaMunicipal Income Tax

Latvia's 119 municipalities levy a local income tax portion — 80% of income tax goes to municipalities, 20% to the state. The effective split means municipalities directly benefit from local earnings. Property tax (nekustamā īpašuma nodoklis) is set by municipalities at 0.2%–3% of cadastral value. Latvia uses the progressive income tax system introduced in 2018 (replacing the flat 23%). Vehicle tax and business risk duty are national.

⚠️ 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.

Malawi vs Latvia: Key Tax Differences (2026)

💰 Income Tax: 🇲🇼 Malawi has a higher top income tax rate (0–35% vs 20–31%). 🇱🇻 Latvia is more favourable for high earners.

🛒 VAT/Sales Tax: Latvia has a higher consumption tax (16.5% vs 12–21%).

🏢 Corporate Tax: 🇱🇻 Latvia offers a lower corporate rate (20% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇱🇻 Latvia taxes investment gains at a lower rate (20% vs 30%), benefiting investors.

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All 🇲🇼 Malawi comparisons →All 🇱🇻 Latvia comparisons →