Israel vs Bhutan
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.
๐ฎ๐ฑ Israel โ Municipal & Local Authority Taxes
Israel's 255 local authorities (cities, regional councils) levy Arnona (property tax/municipal rate) on residents and businesses. Arnona rates vary significantly by local authority โ Tel Aviv and Herzliya have higher rates than peripheral areas. There is a national equalization grant system to help weaker municipalities. Employers pay National Insurance (Bituach Leumi) and health tax to the national level. The tax authority (ITA) is national; local authorities have no income tax powers.
๐ง๐น Bhutan โ Dzongkhag & Thromde Taxes
Bhutan's 20 dzongkhags (districts) and thromdes (municipalities) levy local land tax, cattle tax, and local fees. Bhutan is a constitutional monarchy pursuing Gross National Happiness over GDP. Corporate and business income taxes are primary revenue sources; personal income tax is minimal for most citizens given the country's structure. Bhutan has major hydropower export revenues from India and has become notable for state-enterprise cryptocurrency mining. The country is transitioning toward more market-oriented development with LDC graduation aspirations.
Israel vs Bhutan: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฎ๐ฑ Israel has a higher top income tax rate (10โ50% vs 0โ25%). ๐ง๐น Bhutan is more favourable for high earners.
๐ VAT/Sales Tax: Israel has a higher consumption tax (18% vs 0%).
๐ข Corporate Tax: ๐ฎ๐ฑ Israel offers a lower corporate rate (23% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ง๐น Bhutan taxes investment gains at a lower rate (0% vs 30%), benefiting investors.