Ethiopia vs Netherlands
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
πͺπΉ Ethiopia β Regional State Taxes
Ethiopia's 11 regional states and 2 chartered cities (Addis Ababa, Dire Dawa) have their own revenue authorities. Regional states collect income tax on employees of regional civil servants and businesses registered in their regions. Agricultural income tax is exclusively regional, though poorly collected in rural areas. The Ethiopian Revenues and Customs Authority (ERCA) administers federal taxes. Addis Ababa has the most developed tax administration. Turnover tax (TOT) of 2% applies to businesses below VAT threshold.
π³π± Netherlands β Municipal & Water Board Taxes
The Netherlands is a unitary state β income tax is set nationally. Municipalities levy property taxes (OZB) and water boards (waterschappen) charge annual water management levies. The Box 3 system is under ongoing reform following Supreme Court rulings. New Box 3 reform taxes actual returns from 2027.
Ethiopia vs Netherlands: Key Tax Differences (2026)
π° Income Tax: π³π± Netherlands has a higher top income tax rate (0β35% vs 9.32β49.5%). πͺπΉ Ethiopia is more favourable for high earners.
π VAT/Sales Tax: Netherlands has a higher consumption tax (15% vs 9β21%).
π’ Corporate Tax: π³π± Netherlands offers a lower corporate rate (25.8% vs 30%), which can influence business location decisions.
π Capital Gains: πͺπΉ Ethiopia taxes investment gains at a lower rate (15% vs 38%), benefiting investors.