Tonga vs Eritrea
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
πΉπ΄ Tonga β Tonga Tax System
Tonga levies income tax at a flat 20% on income above the personal allowance. No capital gains tax. Consumption tax at 15% replaced the previous sales tax. The economy is heavily reliant on remittances (over 40% of GDP) from Tongans abroad, mainly in Australia, New Zealand and the US. Agriculture and fishing are the main domestic sectors.
πͺπ· Eritrea β Eritrea Tax System
Eritrea has a progressive income tax up to 38%. Uniquely, it levies a 2% 'diaspora tax' on Eritrean citizens living abroad β a controversial policy condemned by the UN. Corporate tax is 30%. The highly centralized command economy under President Isaias Afwerki limits private sector activity. Mining (gold, copper, zinc) is the main formal revenue sector. International sanctions apply.
Tonga vs Eritrea: Key Tax Differences (2026)
π° Income Tax: πͺπ· Eritrea has a higher top income tax rate (0β20% vs 0β38%). πΉπ΄ Tonga is more favourable for high earners.
π VAT/Sales Tax: Tonga has a higher consumption tax (15% vs 5%).
π’ Corporate Tax: πΉπ΄ Tonga offers a lower corporate rate (25% vs 30%), which can influence business location decisions.
π Capital Gains: πΉπ΄ Tonga taxes investment gains at a lower rate (0% vs 30%), benefiting investors.