WorldTax CompareAll Comparisons

Brazil vs Honduras
Tax Rate Comparison

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

🇧🇷 Brazil
vs
🇭🇳 Honduras
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
0–27.5%
Zero-rate up to R$5,000/mo fully effective
No change
0–25%
25% top; fiscal reform priority
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
~27.5% combined
IBS+CBS advancing; ICMS/ISS phasing out
-0.5pp vs 2025
15%
15% ISV maintained
No change

Corporate Tax Rate

Corporate Tax Rate
34%
34% maintained; reform discussions ongoing
No change
25%
25%; Pillar Two considerations
No change

Capital Gains Tax

Capital Gains Tax
15–22.5%
Offshore income now fully captured
No change
10%
10% maintained
No change

Social Security & Payroll

Social Security / Payroll
~36%
Payroll simplification proposals ongoing
No change
~18%
IHSS expansion efforts; formal sector low
No change
State, Regional & Local Taxes

🇧🇷 BrazilState & Municipal Taxes

Brazil has one of the world's most complex tax systems. States levy ICMS at 7%–18% varying by state. Municipalities levy ISS (services tax) at 2%–5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.

🇭🇳 HondurasMunicipal Taxes

Honduras's 298 municipalities levy the Impuesto Personal sobre la Renta (IPSVR), property tax (on buildings and land), commercial activity tax (impuesto de industria, comercio y servicios at 0.3%–0.5% of gross income), and vehicle tax. Tegucigalpa and San Pedro Sula have the highest municipal charges. The Servicio de Administración de Rentas (SAR) administers national taxes. Honduras has one of Latin America's highest inequality indices; tax evasion is widespread, particularly in informal sectors.

⚠️ 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.

Brazil vs Honduras: Key Tax Differences (2026)

💰 Income Tax: 🇧🇷 Brazil has a higher top income tax rate (0–27.5% vs 0–25%). 🇭🇳 Honduras is more favourable for high earners.

🛒 VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 15%).

🏢 Corporate Tax: 🇭🇳 Honduras offers a lower corporate rate (25% vs 34%), which can influence business location decisions.

📈 Capital Gains: 🇭🇳 Honduras taxes investment gains at a lower rate (10% vs 22.5%), benefiting investors.

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All 🇧🇷 Brazil comparisons →All 🇭🇳 Honduras comparisons →