Italy vs Iraq
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%.
๐ฎ๐ถ Iraq โ Governorate Taxes
Iraq's 18 governorates (muhafazat) have limited independent taxing powers under the federal system. The Kurdish Region of Iraq (KRI โ Erbil, Sulaymaniyah, Dohuk) has its own tax administration and revenue share arrangement with Baghdad. The Federal Board of Supreme Audit and Tax Commission administer national taxes. Oil revenues dominate the Iraqi budget (~90% of government revenue), meaning formal taxation plays a smaller role than in most countries. Reconstruction and diversification remain key challenges.
Italy vs Iraq: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฎ๐น Italy has a higher top income tax rate (23โ43% vs 3โ15%). ๐ฎ๐ถ Iraq is more favourable for high earners.
๐ VAT/Sales Tax: Italy has a higher consumption tax (4โ22% vs 0%).
๐ข Corporate Tax: ๐ฎ๐ถ Iraq offers a lower corporate rate (15% vs 24%), which can influence business location decisions.
๐ Capital Gains: ๐ฎ๐ถ Iraq taxes investment gains at a lower rate (15% vs 26%), benefiting investors.