Iceland vs Tajikistan
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฎ๐ธ Iceland โ Municipal Income Tax
Iceland's 69 municipalities set their own local income tax rates, ranging from ~12.44% to ~14.52%, averaging ~14.45%. This is added to the national income tax. The combined effective rate for most earners is about 36.94% (national + municipal). Iceland has no inheritance tax on direct heirs. Real estate transfer tax (stimpilgjald) is 0.8% on property transfers. Iceland is not an EU member but belongs to the EEA, affecting VAT and trade rules.
๐น๐ฏ Tajikistan โ Regional & Local Taxes
Tajikistan's 4 provinces and districts collect local taxes within nationally defined frameworks. Tajikistan is the poorest of the former Soviet Central Asian republics, heavily reliant on remittances from Russia (~30โ40% of GDP). The Rogun hydropower dam project is a transformational infrastructure investment. VAT, income tax, and social tax are the main revenue sources alongside customs duties. The informal economy is very large relative to the formal tax base.
Iceland vs Tajikistan: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฎ๐ธ Iceland has a higher top income tax rate (~36.94% vs 13%). ๐น๐ฏ Tajikistan is more favourable for high earners.
๐ VAT/Sales Tax: Iceland has a higher consumption tax (11โ24% vs 15%).
๐ข Corporate Tax: ๐น๐ฏ Tajikistan offers a lower corporate rate (18% vs 20%), which can influence business location decisions.
๐ Capital Gains: ๐น๐ฏ Tajikistan taxes investment gains at a lower rate (13% vs 22%), benefiting investors.