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Norway vs Italy
Tax Rate Comparison

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

🇳🇴 Norway
vs
🇮🇹 Italy
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
22–47.4%
Income thresholds rising with wage growth
No change
23–43%
3-bracket IRPEF reform targeting completion
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
12–25%
Standard 25% maintained
No change
4–22%
Digital economy VAT rules tightening
No change

Corporate Tax Rate

Corporate Tax Rate
22%
Resource rent taxes stable; critical minerals review
No change
24%
Investment incentive rate (20%) extended
No change

Capital Gains Tax

Capital Gains Tax
37.84%
High dividend tax fuels holding co. debate
No change
26%
Flat 26% maintained
No change

Social Security & Payroll

Social Security / Payroll
~19.1%
Stable; labour market tight
No change
~40%
Pension reform adjustments continuing
No change
State, Regional & Local Taxes

🇳🇴 NorwayMunicipal Taxes & Resource Rent

Norway's 15 counties and 356 municipalities set local income tax within a national band; max combined rate ~22%. Norway has unique resource rent taxes on petroleum (78%) and hydropower (67% from 2024). Wealth tax (formuesskatt) applies at 1%–1.1% on net assets above NOK 1.7M. Dividends above a risk-free return are taxed at ~37.84% effective.

🇮🇹 ItalyRegional & 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%.

⚠️ 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.

Norway vs Italy: Key Tax Differences (2026)

💰 Income Tax: 🇳🇴 Norway has a higher top income tax rate (22–47.4% vs 23–43%). 🇮🇹 Italy is more favourable for high earners.

🛒 VAT/Sales Tax: Norway has a higher consumption tax (12–25% vs 4–22%).

🏢 Corporate Tax: 🇳🇴 Norway offers a lower corporate rate (22% vs 24%), which can influence business location decisions.

📈 Capital Gains: 🇮🇹 Italy taxes investment gains at a lower rate (26% vs 37.84%), benefiting investors.

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