Hong Kong vs Germany
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.
๐ญ๐ฐ Hong Kong โ No Sub-Regional Tax Variation
Hong Kong is a Special Administrative Region with a simple, low-tax structure. There are no sub-regional taxes. Profits tax applies only to profits arising in or derived from Hong Kong (territorial basis). Property rates are charged at ~5% of assessed rental value. Estate duty was abolished in 2006. Stamp duty on property has been progressively modified since 2022 to cool/stimulate the market. There is no VAT, capital gains tax, or withholding tax on dividends.
๐ฉ๐ช Germany โ Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 Bundeslรคnder apply federal income tax rates uniformly โ no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7โ17% effective. Church tax (Kirchensteuer) of 8โ9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
Hong Kong vs Germany: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฉ๐ช Germany has a higher top income tax rate (2โ17% vs 14โ45%). ๐ญ๐ฐ Hong Kong is more favourable for high earners.
๐ VAT/Sales Tax: Germany has a higher consumption tax (0% vs 7โ19%).
๐ข Corporate Tax: ๐ญ๐ฐ Hong Kong offers a lower corporate rate (16.5% vs 29%), which can influence business location decisions.
๐ Capital Gains: ๐ญ๐ฐ Hong Kong taxes investment gains at a lower rate (0% vs 25%), benefiting investors.