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United States vs Mexico
Tax Rate Comparison

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

🇺🇸 United States
vs
🇲🇽 Mexico
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
10–37%
TCJA provisions extended; no sunset
No change
1.92–35%
Rates stable; fiscal consolidation needed
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
0–11%
No federal sales tax; state avg ~6–9%
No change
0–16%
Standard 16% maintained
No change

Corporate Tax Rate

Corporate Tax Rate
21%
Federal flat; proposals to raise to 28% stalled
No change
30%
30% maintained; Pillar Two discussions
No change

Capital Gains Tax

Capital Gains Tax
0–20%
+ 3.8% NIIT; thresholds inflation-adjusted
No change
35%
No change
No change

Social Security & Payroll

Social Security / Payroll
~15.3%
SS wage base ~$180,000 est. 2026
No change
~35%
Nearshoring investment affecting payroll dynamics
No change
State, Regional & Local Taxes

🇺🇸 United StatesState & Local Taxes

The U.S. has 50 states each setting their own income tax (0%–13.3%). California tops at 13.3%, while Texas, Florida, and Nevada levy no state income tax. NYC adds its own income tax (up to 3.876%). Sales taxes vary from 0% (Oregon) to over 11% combined. Property taxes are primarily local. Some states like Washington have introduced capital gains levies.

🇲🇽 MexicoState & Municipal Taxes

Mexico's 31 states and Mexico City each have their own regimes. States charge local payroll tax (Impuesto Sobre Nómina) at 1%–4% (employer-paid). Municipal property tax (predial) rates vary significantly. Some states have lodging and entertainment levies. The Maquila sector benefits from special IMMEX programs. Nearshoring boom is driving new investment.

⚠️ 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 States vs Mexico: Key Tax Differences (2026)

💰 Income Tax: 🇺🇸 United States has a higher top income tax rate (10–37% vs 1.92–35%). 🇲🇽 Mexico is more favourable for high earners.

🛒 VAT/Sales Tax: Mexico has a higher consumption tax (0–11% vs 0–16%).

🏢 Corporate Tax: 🇺🇸 United States offers a lower corporate rate (21% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇺🇸 United States taxes investment gains at a lower rate (20% vs 35%), benefiting investors.

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All 🇺🇸 United States comparisons →All 🇲🇽 Mexico comparisons →