Pakistan vs Andorra
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
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๐ต๐ฐ Pakistan โ Provincial Sales Taxes & Levies
Pakistan's 4 provinces (Punjab, Sindh, Khyber Pakhtunkhwa, Balochistan) levy their own sales tax on services at 13%โ16%, separate from federal GST on goods. Agricultural income tax is exclusively provincial, though poorly collected. Sindh has the most developed provincial tax authority (SRB). Urban immovable property tax is provincial. Development surcharges and cess taxes vary by province. The FBR (Federal Board of Revenue) administers national taxes.
๐ฆ๐ฉ Andorra โ Parish Taxes & Local Levies
Andorra's 7 parishes (parrรฒquies) levy communal taxes including building and land taxes, commercial licence fees, and local service charges. Andorra only introduced a personal income tax (IRPF) in 2015 and corporate tax (IS) in 2012. This micro-state in the Pyrenees between France and Spain remains a significant tax haven due to very low VAT and no inheritance or capital gains tax. It has an Association Agreement with the EU.
Pakistan vs Andorra: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ต๐ฐ Pakistan has a higher top income tax rate (0โ35% vs 0โ10%). ๐ฆ๐ฉ Andorra is more favourable for high earners.
๐ VAT/Sales Tax: Pakistan has a higher consumption tax (18% vs 4.5%).
๐ข Corporate Tax: ๐ฆ๐ฉ Andorra offers a lower corporate rate (10% vs 29%), which can influence business location decisions.
๐ Capital Gains: ๐ฆ๐ฉ Andorra taxes investment gains at a lower rate (0% vs 15%), benefiting investors.