Italy vs Philippines
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇮🇹 Italy — Regional & Municipal Income Taxes
Italy's 20 regions levy addizionale regionale at 0.7%–3.33%. 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%.
🇵🇭 Philippines — Local Government Unit (LGU) Taxes
The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%–2% of gross receipts), real property tax, and fees. Cities can levy local business taxes at their own rates within national caps. The local business tax is a major compliance burden for businesses operating across multiple LGUs. The BIR (Bureau of Internal Revenue) administers national taxes. The Create Act (2021) significantly reformed corporate income tax rates.
Italy vs Philippines: Key Tax Differences (2026)
💰 Income Tax: 🇮🇹 Italy has a higher top income tax rate (23–43% vs 0–35%). 🇵🇭 Philippines is more favourable for high earners.
🛒 VAT/Sales Tax: Italy has a higher consumption tax (4–22% vs 12%).
🏢 Corporate Tax: 🇮🇹 Italy offers a lower corporate rate (24% vs 25%), which can influence business location decisions.
📈 Capital Gains: 🇵🇭 Philippines taxes investment gains at a lower rate (15% vs 26%), benefiting investors.