TAXRATESONLABOUR,CORPORATEINCOMEANDCONSUMPTION
CONTENTS
OECD TAX DATABASE 2022 - 3
4 – OECD TAX DATABASE 2022
Source: OECD (2022). OECD Tax Database. oe.cd/tax-database
OECD TAX DATABASE 2022 - 5
6 – OECD TAX DATABASE 2022
Single worker at 67% of average wage, no child
Single worker at 100% of average wage, no child
Single worker at 167% of average wage, no child
Single worker at 67% of average wage, two children
One-earner married couple at 100% of average wage, two children
Two-earner married couple, one at 100% of average wage and the other at 67%, two children
Two-earner married couple, both at 100% of average wage, two children
Two-earner married couple, one at 100% of average wage and the other at 67%, no child
Source: OECD (2022). OECD Tax Database. oe.cd/tax-database, based on modelling from Taxing Wages (OECD, 2022)
OECD TAX DATABASE 2022 - 7
0 10 20 30 40
2021 2000
2/3
ofOECDcountries haveataxwedge between30%and45%
8 – OECD TAX DATABASE 2022
The tax wedge of the average worker in OECD countries is comprised primarily of employer SSCs (13.5% of labour costs), followed by income tax (13.0%) and employee SSCs (8.2%).
Note: Single individual without children at the income level of the average worker. Includes payroll taxes where applicable. In Colombia, the single worker at the average wage level did not pay personal income taxes in 2021, whereas their contributions to pension, health and employment risk insurances are considered to be non-tax compulsory payments (NTCPs) and therefore are not counted as taxes in the Taxing Wages calculations. Please refer to the NTCP report (https://www.oecd.org/tax/tax-policy/tax-database/non-tax-compulsory-payments.pdf).
Source: OECD (2022) OECD Tax Database oe cd/tax-database
OECD TAX DATABASE 2022 - 9 0 10 20 30 40 50 Belgium Germany Austria France Italy Slovenia Hungary Finland Sweden Portugal Slovak… Latvia Luxembourg Czech Republic Türkiye Spain Estonia Lithuania Greece Norway Denmark Netherlands Poland OECD Ireland Japan Iceland Canada United… United States Costa Rica Australia Israel Korea Switzerland Mexico New Zealand Chile Colombia
10 – OECD TAX DATABASE 2022
In these two countries, a single rate PIT applies to all levels of taxable income.
Threshold at which the top PIT rate applies (as a multiple of the average wage) average wage
Note: The figure includes data for all OECD countries except Mexico. Mexico, which is an outlier, has been excluded to improve the readability of the graph. In Mexico, a top PIT rate of 35% applies above a threshold of 28.7 times the average wage.
Source: OECD (2022). OECD Tax Database. oe.cd/tax-database
OECD TAX DATABASE 2022 - 11 AUS AUT BEL CAN CHL CZE DNK EST FIN FRA DEU GRC HUN ISL IRL ISR ITA JPN KOR LVA LTU LUX NLD NZL NOR POL PRT SVK SVN ESP SWE CHE TUR GBR USA COL CRI 0 10 20 30 40 50 60 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Top PIT rate (in %)
In 2021, the OECD average top PIT rate was 42.5%, 1.8 p.p. lower than in 2000.
12 – OECD TAX DATABASE 2022
OECD TAX DATABASE 2022 - 13
0 10 20 30 40 50 60 Japan Denmark France Austria Canada Portugal Belgium Sweden Finland Israel Slovenia Netherlands Korea Ireland Germany Italy Australia Iceland Luxembourg Spain United Kingdom Greece United States OECD Switzerland Türkiye Chile New Zealand Norway Mexico Colombia Lithuania Poland Latvia Costa Rica Slovak Republic Czech Republic Estonia Hungary 2021 2000 2010
Source: OECD (2022). OECD Tax Database. oe.cd/tax-database
14 – OECD TAX DATABASE 2022
Note: The averages are unweighted averages. The EU-22 average includes all EU countries that are members of the OECD. The G20 average includes all G20 countries, excluding the EU. Source: OECD (2022). OECD Tax Database. oe.cd/tax-database
OECD TAX DATABASE 2022 - 15 0 10 20 30 40 50 Colombia Portugal Australia Costa Rica Mexico Germany Japan New Zealand Italy Korea G20 Canada France United States Netherlands Austria Belgium Spain Luxembourg OECD Israel Türkiye Denmark Greece Norway EU-22 Slovak… Sweden Estonia Finland Iceland Latvia Switzerland Czech Republic Poland Slovenia United… Lithuania Ireland Chile Hungary 2022 2000 2010
16 – OECD TAX DATABASE 2022
Note: The averagesare unweighted averages.The EU-22 averageincludes all EU countries that are membersof the OECD. The G20 averageincludes all G20 countries, excludingthe EU.
Source: OECD (2022). OECD Tax Database. oe.cd/tax-database
OECD TAX DATABASE 2022 - 17
16 – OECD TAX DATABASE 2022
Note
Source: National delegates, position as of 1 January of the respective year.
OECD TAX DATABASE 2022 - 15 0 5 10 15 20 25
Denmark Norway Sweden Finland Greece Iceland Ireland Poland Portugal Italy Slovenia EU-22 Belgium Czech Republic Latvia Lithuania Netherlands Spain Austria Estonia France Slovak Republic United Kingdom OECD Chile Colombia Germany Türkiye Israel Luxembourg Mexico New Zealand Costa Rica Australia Japan Korea Switzerland 2022 2005
Hungary
: The averages are unweighted averages including the countries for which data was available by the time this graph was composed The OECD average includes all OECD countries but the United States (which do not apply a VAT) The EU-22 average includes all OECD countries that are members of the EU Country-specific notes can be found here: https://www.oecd.org/tax/consumption-tax-trends-19990979.htm
Key links: ✓ Access the data: stats.oecd.org/Index.aspx?DataSetCode=TABLE_I1 ✓ Tax Database webpage: oe.cd/tax-database For more information: OECD.TaxDatabase@oecd.org https://oe.cd/tax-database @OECDtax OECD Tax