Germany vs Denmark
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.
π©πͺ Germany β Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 BundeslΓ€nder apply federal income tax rates uniformly β no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7β17% effective. Church tax (Kirchensteuer) of 8β9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
π©π° Denmark β Municipal Income Tax
Denmark's 98 municipalities set local income tax (kommuneskat) at ~22.8%β27.8%. The national state tax adds 15% (top bracket). Combined rates including AM contribution (8% of gross) make Denmark one of the world's highest-tax nations at ~55β56% effective top. Church tax (~0.7%) applies to members. Property value tax is nationally set.
Germany vs Denmark: Key Tax Differences (2026)
π° Income Tax: π©π° Denmark has a higher top income tax rate (14β45% vs ~55.9%). π©πͺ Germany is more favourable for high earners.
π VAT/Sales Tax: Denmark has a higher consumption tax (7β19% vs 25%).
π’ Corporate Tax: π©π° Denmark offers a lower corporate rate (22% vs 29%), which can influence business location decisions.
π Capital Gains: π©πͺ Germany taxes investment gains at a lower rate (25% vs 42%), benefiting investors.