WorldTax CompareAll Comparisons

United Kingdom vs Nicaragua
Tax Rate Comparison

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

🇬🇧 United Kingdom
vs
🇳🇮 Nicaragua
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
0–45%
Thresholds remain frozen; fiscal drag continuing
No change
0–30%
30% top; economic stability fragile
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
0–20%
Standard 20% maintained
No change
15%
IVA 15% maintained
No change

Corporate Tax Rate

Corporate Tax Rate
19–25%
25% main rate; possible future reform discussions
No change
30%
30% IR maintained
No change

Capital Gains Tax

Capital Gains Tax
18–24%
Post-Oct 2024 rates in full effect
No change
15%
15% CGT
No change

Social Security & Payroll

Social Security / Payroll
~28.3%
15% employer NI; lower secondary threshold remains
No change
~25.25%
INSS reform pending
No change
State, Regional & Local Taxes

🇬🇧 United KingdomDevolved, Council & Business Rates

Scotland sets its own income tax bands (six bands; top rate 48%). Wales has limited income tax-varying powers. Northern Ireland follows UK rates. All residents pay Council Tax to local authorities (typically £1,200–£4,000+/year). Business rates are set nationally but collected locally. SDLT applies to property purchases (LBTT in Scotland, LTT in Wales).

🇳🇮 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.

⚠️ 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.

United Kingdom vs Nicaragua: Key Tax Differences (2026)

💰 Income Tax: 🇬🇧 United Kingdom has a higher top income tax rate (0–45% vs 0–30%). 🇳🇮 Nicaragua is more favourable for high earners.

🛒 VAT/Sales Tax: United Kingdom has a higher consumption tax (0–20% vs 15%).

🏢 Corporate Tax: 🇬🇧 United Kingdom offers a lower corporate rate (25% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇳🇮 Nicaragua taxes investment gains at a lower rate (15% vs 24%), benefiting investors.

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