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South Korea vs Italy
Tax Rate Comparison

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

🇰🇷 South Korea
vs
🇮🇹 Italy
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
6–45%
Stable; political debate on top rate reduction
No change
23–43%
3-bracket IRPEF reform targeting completion
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
Standard 10% maintained
No change
4–22%
Digital economy VAT rules tightening
No change

Corporate Tax Rate

Corporate Tax Rate
9–24%
Competitiveness discussions vs global peers
No change
24%
Investment incentive rate (20%) extended
No change

Capital Gains Tax

Capital Gains Tax
0–45%
Financial income taxation reform continuing
No change
26%
Flat 26% maintained
No change

Social Security & Payroll

Social Security / Payroll
~18.5%
Contribution rates stable; pension reform discussion
No change
~40%
Pension reform adjustments continuing
No change
State, Regional & Local Taxes

🇰🇷 South KoreaLocal Income Tax & Resident Tax

South Korea's 17 metropolitan/provincial governments levy local income tax at 10% of national income tax. Property holding tax (Jongbu-se) is a national progressive tax on higher-value properties. Local education taxes and acquisition taxes apply to property transfers. Seoul has higher effective rates due to property values.

🇮🇹 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.

South Korea vs Italy: Key Tax Differences (2026)

💰 Income Tax: 🇰🇷 South Korea has a higher top income tax rate (6–45% vs 23–43%). 🇮🇹 Italy is more favourable for high earners.

🛒 VAT/Sales Tax: Italy has a higher consumption tax (10% vs 4–22%).

🏢 Corporate Tax: Corporate rates are similar in both countries (9–24% vs 24%).

📈 Capital Gains: 🇮🇹 Italy taxes investment gains at a lower rate (26% vs 45%), benefiting investors.

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