Nepal vs Germany
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.
๐ณ๐ต Nepal โ Province & Local Government Taxes
Nepal's 7 provinces and 753 local governments (metropolitan, sub-metropolitan, municipal, and rural municipal) have significant constitutional taxing powers under the 2015 federal constitution. Local governments levy entertainment tax, advertisement tax, house/land registration tax, and tourism fees. Provinces can levy vehicle tax and some business taxes. The Inland Revenue Department (IRD) administers federal taxes. Nepal's tax system has evolved significantly under federalism since 2017.
๐ฉ๐ช Germany โ Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 Bundeslรคnder apply federal income tax rates uniformly โ no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7โ17% effective. Church tax (Kirchensteuer) of 8โ9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
Nepal vs Germany: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฉ๐ช Germany has a higher top income tax rate (1โ36% vs 14โ45%). ๐ณ๐ต Nepal is more favourable for high earners.
๐ VAT/Sales Tax: Germany has a higher consumption tax (13% vs 7โ19%).
๐ข Corporate Tax: ๐ณ๐ต Nepal offers a lower corporate rate (25% vs 29%), which can influence business location decisions.
๐ Capital Gains: ๐ณ๐ต Nepal taxes investment gains at a lower rate (10% vs 25%), benefiting investors.