Top Personal Income Tax Rates in Europe, 2025
Denmark (55.9 percent), France (55.4 percent), and Austria (55 percent) levy the highest top personal income tax rates in Europe.
4 min read
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The EU’s Questionable VAT Policy
In a recent survey regarding companies’ barriers to conducting business in the EU single market, VAT ranked first. Policymakers should invest in reforming VAT systems to close both compliance and policy gaps in ways that improve the overall efficiency of their tax systems.
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Transatlantic Tensions: What the German Election Could Mean for International Tax & Trade Policy
As the third-largest economy in the world, with an influential voice within EU policymaking, and the United States among its most important trading partners, Germany’s next government will play a particularly important role in deciding the direction of European tax, trade, and transatlantic policy.
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Distributed Profits Taxation Would Be a Good Role Model for the EU’s 28th Regime
In a recent speech at the Davos Economic Forum, European Commission President Ursula von der Leyen announced plans to create a single set of rules for corporate law, insolvency, labor law, and taxation, under which companies could seamlessly operate across the European Single Market.
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VAT Rates in Europe, 2025
More than 175 countries worldwide—including all major European countries—levy a value-added tax (VAT) on goods and services. EU Member States’ VAT rates vary across countries, though they’re somewhat harmonized by the EU.
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Five Things to Know About Trump’s Global Minimum Tax Order
This week, the incoming Trump administration issued a day-one executive order on the global minimum tax agreement known as Pillar Two, which seeks to ensure multinational corporations pay at least 15 percent in income tax.
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Corporate Income Tax Rates in Europe, 2025
Some European countries have raised their statutory corporate rates over the past year, including Czechia, Estonia, Iceland, Lithuania, and Slovenia.
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Integrated Tax Rates on Corporate Income in Europe, 2024
In most European OECD countries, corporate income is taxed twice, once at the entity level and once at the shareholder level.
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Pillar Two Implementation in Europe, 2024
18 of the 27 EU Member States have implemented both the income inclusion rule and the qualified domestic minimum top-up tax in 2024.
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Wartime Taxes Are Waging War on Sound Policy Choices
Spain’s central government is considering making its windfall taxes on energy companies and the banking sector permanent.
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What Does Moving Toward a More Competitive EU Tax System Mean?
As the geopolitical scene continues to change, policymakers in Europe should focus on lowering effective marginal tax rates to drive much-needed investment and long-term economic growth.
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Beer Taxes in Europe, 2024
As Oktoberfest celebrations wrap up across the continent, now is a great time to examine beer taxes in the European Union. Hefty beer taxes add to the price of every drink consumed.
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The French Budget: Moving from Public Debate to Principled Solutions
Focusing on competitiveness, neutrality, and efficient policies to raise revenue would go a long way in increasing economic growth and stabilizing public finances over the long term.
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Real Property Taxes in Europe, 2024
High property taxes levied not only on land but also on buildings and structures can discourage investment in infrastructure, which businesses would have to pay additional tax on.
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Statutory vs. Effective Tax Rates: Why Do Higher Taxes Not Necessarily Lead to Increased Revenues?
The gap between statutory rates and average effective tax rates for personal income tax in the European Union varies significantly, affecting the efficiency and simplicity of the tax system.
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Windfall Profit Taxes in Europe, 2024
The flawed design of these windfall profits taxes has created problems in countries that implemented them.
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What European Countries Are Doing about Oil and Gas Windfall Profits Taxes
Rather than pursuing temporary policies, policymakers should implement long-term, pro-growth tax reforms that stimulate economic activity and incentivize energy diversification by supporting private investment through full expensing.
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Cigarette Taxes in Europe, 2024
Explore the latest EU tobacco and cigarette tax rates, including EU excise duties on cigarettes. Compare cigarette taxes in Europe.
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Diesel and Gas Taxes in Europe, 2024
Gas and diesel taxes continue to be prominent policy issues throughout Europe. As the EU undergoes sweeping changes for its green transition, fuel taxes are likely to be a crucial aspect of policy discussions.
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Pillar Two: Electric Boogaloo
The global tax deal and Pillar Two are shaking up the tax landscape worldwide, introducing a web of complexity and confusion.