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Nicaragua vs Israel
Tax Rate Comparison

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

🇳🇮 Nicaragua
vs
🇮🇱 Israel
Tax Year:

💰 Personal Income Tax Calculator

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–30%
30% top; economic stability fragile
No change
10–50%
Post-conflict budget consolidation; rates uncertain
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
15%
IVA 15% maintained
No change
18%
18% maintained or potential further adjustment
No change

Corporate Tax Rate

Corporate Tax Rate
30%
30% IR maintained
No change
23%
23% stable; reconstruction investment incentives
No change

Capital Gains Tax

Capital Gains Tax
15%
15% CGT
No change
25–30%
25%/30% maintained
No change

Social Security & Payroll

Social Security / Payroll
~25.25%
INSS reform pending
No change
~19%
Post-war social spending affecting insurance levy debate
No change
State, Regional & Local Taxes

🇳🇮 NicaraguaMunicipal Taxes

Nicaragua's 153 municipalities levy the Impuesto de Matrícula (2% of prior revenues), Impuesto Municipal sobre Ingresos (IMI at 1% of monthly revenues), property tax (IBI at 1%), and service fees. Nicaragua under Ortega government has faced significant economic disruption from 2018 protests and subsequent international isolation. The economy has stabilized somewhat but remains one of the poorest in Central America. Tax administration reform has been ongoing with support from international institutions.

🇮🇱 IsraelMunicipal & Local Authority Taxes

Israel's 255 local authorities (cities, regional councils) levy Arnona (property tax/municipal rate) on residents and businesses. Arnona rates vary significantly by local authority — Tel Aviv and Herzliya have higher rates than peripheral areas. There is a national equalization grant system to help weaker municipalities. Employers pay National Insurance (Bituach Leumi) and health tax to the national level. The tax authority (ITA) is national; local authorities have no income tax powers.

⚠️ 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.

Nicaragua vs Israel: Key Tax Differences (2026)

💰 Income Tax: 🇮🇱 Israel has a higher top income tax rate (0–30% vs 10–50%). 🇳🇮 Nicaragua is more favourable for high earners.

🛒 VAT/Sales Tax: Israel has a higher consumption tax (15% vs 18%).

🏢 Corporate Tax: 🇮🇱 Israel offers a lower corporate rate (23% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇳🇮 Nicaragua taxes investment gains at a lower rate (15% vs 30%), benefiting investors.

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