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Malaysia vs Denmark
Tax Rate Comparison

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

🇲🇾 Malaysia
vs
🇩🇰 Denmark
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
0–30%
30% top rate; Pillar Two compliance measures
No change
~55.9%
Among world's highest; stable
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
Service tax 8% maintained; GST return unlikely
No change
25%
No change; EU digital VAT rules expanding
No change

Corporate Tax Rate

Corporate Tax Rate
24%
24% stable; potential reduction discussed for competitiveness
No change
22%
Stable; defence spending debate may affect future rates
No change

Capital Gains Tax

Capital Gains Tax
10–30%
CGT on unlisted shares fully embedded in system
No change
27–42%
Progressive rates maintained
No change

Social Security & Payroll

Social Security / Payroll
~23%
EPF reviewing contribution rates and fund adequacy
No change
~8%
Labour market contributions stable
No change
State, Regional & Local Taxes

🇲🇾 MalaysiaState & Local Authority Taxes

Malaysia's 13 states and 3 federal territories have limited independent taxing powers. States levy quit rent (cukai tanah) on land, assessment rates (cukai pintu/taksiran) on property through local councils, and royalties on natural resources. Petroleum royalties are a major state revenue in Sabah, Sarawak, and Terengganu. Local councils (majlis perbandaran) levy property assessment at 6%–12% of estimated annual rental value. No state income taxes exist — this is federal.

🇩🇰 DenmarkMunicipal Income Tax

Denmark's 98 municipalities set local income tax (kommuneskat) at ~22.8%–27.8%. The national state tax adds 15% (top bracket). Combined rates including AM contribution (8% of gross) make Denmark one of the world's highest-tax nations at ~55–56% effective top. Church tax (~0.7%) applies to members. Property value tax is nationally set.

⚠️ 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.

Malaysia vs Denmark: Key Tax Differences (2026)

💰 Income Tax: 🇩🇰 Denmark has a higher top income tax rate (0–30% vs ~55.9%). 🇲🇾 Malaysia is more favourable for high earners.

🛒 VAT/Sales Tax: Denmark has a higher consumption tax (10% vs 25%).

🏢 Corporate Tax: 🇩🇰 Denmark offers a lower corporate rate (22% vs 24%), which can influence business location decisions.

📈 Capital Gains: 🇲🇾 Malaysia taxes investment gains at a lower rate (30% vs 42%), benefiting investors.

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