Czech Republic vs Luxembourg
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐จ๐ฟ Czech Republic โ Municipal Property & Road Taxes
The Czech Republic's 14 regions (kraje) and 6,254 municipalities do not levy independent income taxes โ this is nationally set. Municipalities may apply a local coefficient (1โ5x) to property tax (daล z nemovitรฝch vฤcรญ), significantly multiplying the base tax in cities like Prague. Prague applies a coefficient of 4x. Road tax (silniฤnรญ daล) applies to business vehicles. The flat tax regime (pauลกรกlnรญ daล) simplifies obligations for small self-employed.
๐ฑ๐บ Luxembourg โ Municipal Business & Property Taxes
Luxembourg's 102 communes levy the Gewerbesteuer (business tax) on companies at rates set by each commune (base rate 3% + municipal multiplier 175%โ400% = effective 6โ10.5%), and communal income tax additionals on individuals. Luxembourg City has higher rates than rural communes. The combined corporate tax (national + municipal) ranges from ~24.9% to ~26.01%. Luxembourg is a major holding company and fund domicile jurisdiction with extensive tax treaty networks.
Czech Republic vs Luxembourg: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฑ๐บ Luxembourg has a higher top income tax rate (15โ23% vs 0โ42%). ๐จ๐ฟ Czech Republic is more favourable for high earners.
๐ VAT/Sales Tax: Czech Republic has a higher consumption tax (12โ21% vs 3โ17%).
๐ข Corporate Tax: ๐จ๐ฟ Czech Republic offers a lower corporate rate (21% vs 24.94%), which can influence business location decisions.
๐ Capital Gains: ๐จ๐ฟ Czech Republic taxes investment gains at a lower rate (23% vs 42%), benefiting investors.