Netherlands vs Italy
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇳🇱 Netherlands — Municipal & Water Board Taxes
The Netherlands is a unitary state — income tax is set nationally. Municipalities levy property taxes (OZB) and water boards (waterschappen) charge annual water management levies. The Box 3 system is under ongoing reform following Supreme Court rulings. New Box 3 reform taxes actual returns from 2027.
🇮🇹 Italy — Regional & Municipal Income Taxes
Italy's 20 regions levy addizionale regionale at 0.7%–3.33%. Municipalities add addizionale comunale up to 0.9%. Sicily, Sardinia, and Trentino-Alto Adige have special autonomous status. IRAP (regional business tax) at ~3.9% applies to businesses. Local property tax (IMU) is set by municipalities on investment properties. Cumulative marginal rates can exceed 50%.
Netherlands vs Italy: Key Tax Differences (2026)
💰 Income Tax: 🇳🇱 Netherlands has a higher top income tax rate (9.32–49.5% vs 23–43%). 🇮🇹 Italy is more favourable for high earners.
🛒 VAT/Sales Tax: Italy has a higher consumption tax (9–21% vs 4–22%).
🏢 Corporate Tax: 🇮🇹 Italy offers a lower corporate rate (24% vs 25.8%), which can influence business location decisions.
📈 Capital Gains: 🇮🇹 Italy taxes investment gains at a lower rate (26% vs 38%), benefiting investors.