Italy vs Finland
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.
๐ฎ๐น Italy โ Regional & Municipal Income Taxes
Italy's 20 regions levy addizionale regionale at 0.7%โ3.33%. Municipalities add addizionale comunale up to 0.9%. Sicily, Sardinia, and Trentino-Alto Adige have special autonomous status. IRAP (regional business tax) at ~3.9% applies to businesses. Local property tax (IMU) is set by municipalities on investment properties. Cumulative marginal rates can exceed 50%.
๐ซ๐ฎ Finland โ Municipal Income Tax
Finland's 309 municipalities set their own income tax rates (municipal tax) ranging from ~16.5% to ~22.5%, averaging ~20%. This is added to the national progressive income tax. The church tax of 1%โ2.2% applies to members. No regional income tax. The 'solidarity tax' on high earners (2%) applies nationally. Municipalities also levy real estate tax on property owners. The welfare state is heavily funded by these high combined tax rates.
Italy vs Finland: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ซ๐ฎ Finland has a higher top income tax rate (23โ43% vs ~44โ51.4%). ๐ฎ๐น Italy is more favourable for high earners.
๐ VAT/Sales Tax: Finland has a higher consumption tax (4โ22% vs 10โ25.5%).
๐ข Corporate Tax: ๐ซ๐ฎ Finland offers a lower corporate rate (20% vs 24%), which can influence business location decisions.
๐ Capital Gains: ๐ฎ๐น Italy taxes investment gains at a lower rate (26% vs 34%), benefiting investors.