United States vs Mexico
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
πΊπΈ United States β State & Local Taxes
The U.S. has 50 states each setting their own income tax (0%β13.3%). California tops at 13.3%, while Texas, Florida, and Nevada levy no state income tax. NYC adds its own income tax (up to 3.876%). Sales taxes vary from 0% (Oregon) to over 11% combined. Property taxes are primarily local. Some states like Washington have introduced capital gains levies.
π²π½ Mexico β State & Municipal Taxes
Mexico's 31 states and Mexico City each have their own regimes. States charge local payroll tax (Impuesto Sobre NΓ³mina) at 1%β4% (employer-paid). Municipal property tax (predial) rates vary significantly. Some states have lodging and entertainment levies. The Maquila sector benefits from special IMMEX programs. Nearshoring boom is driving new investment.
United States vs Mexico: Key Tax Differences (2026)
π° Income Tax: πΊπΈ United States has a higher top income tax rate (10β37% vs 1.92β35%). π²π½ Mexico is more favourable for high earners.
π VAT/Sales Tax: Mexico has a higher consumption tax (0β11% vs 0β16%).
π’ Corporate Tax: πΊπΈ United States offers a lower corporate rate (21% vs 30%), which can influence business location decisions.
π Capital Gains: πΊπΈ United States taxes investment gains at a lower rate (20% vs 35%), benefiting investors.