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South Africa vs Denmark
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

πŸ‡ΏπŸ‡¦ South Africa
vs
πŸ‡©πŸ‡° Denmark
Tax Year:

πŸ’° Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country β€” side by side.

Enter your annual income above to see your personal tax comparison β†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
18–45%
Top rate maintained; NHI funding discussions
No change
~55.9%
Among world's highest; stable
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
16%
VAT raised to 16% from 1 April 2026 (Budget 2025)
β–² +0.5pp vs 2025
25%
No change; EU digital VAT rules expanding
No change
Corporate Tax Rate
Corporate Tax Rate
27%
Stable; National Health Insurance funding debate
No change
22%
Stable; defence spending debate may affect future rates
No change
Capital Gains Tax
Capital Gains Tax
~18%
Possible review of inclusion rate
No change
27–42%
Progressive rates maintained
No change
Social Security & Payroll
Social Security / Payroll
~2%
NHI contribution framework being developed
No change
~8%
Labour market contributions stable
No change
State, Regional & Local Taxes

πŸ‡ΏπŸ‡¦ South Africa β€” Provincial & Municipal Taxes

South Africa's 9 provinces do not levy their own income tax β€” this is national. Municipalities levy property rates (0.5%–2.5% of assessed value/year), utilities, and refuse levies. Cape Town and Johannesburg have relatively higher municipal rates. Load-shedding prompted energy-related tax credits in recent budgets.

πŸ‡©πŸ‡° Denmark β€” Municipal Income Tax

Denmark's 98 municipalities set local income tax (kommuneskat) at ~22.8%–27.8%. The national state tax adds 15% (top bracket). Combined rates including AM contribution (8% of gross) make Denmark one of the world's highest-tax nations at ~55–56% effective top. Church tax (~0.7%) applies to members. Property value tax is nationally set.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

South Africa vs Denmark: Key Tax Differences (2026)

πŸ’° Income Tax: πŸ‡©πŸ‡° Denmark has a higher top income tax rate (18–45% vs ~55.9%). πŸ‡ΏπŸ‡¦ South Africa is more favourable for high earners.

πŸ›’ VAT/Sales Tax: Denmark has a higher consumption tax (16% vs 25%).

🏒 Corporate Tax: πŸ‡©πŸ‡° Denmark offers a lower corporate rate (22% vs 27%), which can influence business location decisions.

πŸ“ˆ Capital Gains: πŸ‡ΏπŸ‡¦ South Africa taxes investment gains at a lower rate (18% vs 42%), benefiting investors.

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