Markets
Visualizing the Countries With the Highest Corporate Tax Rates
See this visualization first on the Voronoi app.
Countries With the Highest Corporate Tax Rate Around the World
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
In 1980, the global average corporate tax rate stood at 40.2%—a level notably higher than today.
Over the last several decades, corporate tax rates have declined across every region, with the average now falling at 23.5% as of 2023. As tax rates have sunk lower, U.S. Treasury Secretary Janet Yellen and others have called for a global minimum corporate tax to prevent multinationals from sheltering profits in tax havens.
But on the other hand, some argue that lower corporate rates allow corporations to report more income and boost real business activities.
The above graphic, from Pranav Gavali, shows the countries with the highest corporate tax rates since 1980.
What are the Top 10 Countries by Corporate Tax Rates?
Below, we show how countries with the highest corporate taxes have changed over the last four decades, based on data from the Tax Foundation:
Rank | Country | Corporate Tax Rate 2023 | Country | Corporate Tax Rate 1980 |
---|---|---|---|---|
1 | 🇰🇲 Comoros | 50.0% | 🇬🇭 Ghana | 60.0% |
2 | 🇵🇷 Puerto Rico | 37.5% | 🇮🇳 India | 60.0% |
3 | 🇸🇷 Suriname | 36.0% | 🇨🇳 China | 55.2% |
4 | 🇦🇷 Argentina | 35.0% | 🇵🇰 Pakistan | 55.0% |
5 | 🇹🇩 Chad | 35.0% | 🇵🇪 Peru | 55.0% |
6 | 🇨🇴 Colombia | 35.0% | 🇦🇹 Austria | 55.0% |
7 | 🇨🇺 Cuba | 35.0% | 🇬🇧 United Kingdom | 52.0% |
8 | 🇬🇶 Equatorial Guinea | 35.0% | 🇨🇩 DRC | 50.0% |
9 | 🇲🇹 Malta | 35.0% | 🇫🇷 France | 50.0% |
10 | 🇸🇩 Sudan | 35.0% | 🇰🇼 Kuwait | 50.0% |
As the above table shows, countries clustered in Africa and South America have the top rates globally.
Argentina, with a corporate tax rate of 35%, hiked up rates from 25% in 2022 as the country was mired in a deepening economic crisis. The country has also been a key supporter of a global minimum tax, suggesting it should be raised as high as 25%.
Malta, the only European nation on the list, also has one of the highest rates. Yet its tax system is complex: local businesses pay a 35% rate on profits, but international firms can pay as low as 5% in Malta with an additional 10% tax paid in their originating country.
By contrast, we can see that in 1980, countries including India, China and the United Kingdom had corporate tax rates above 50%. Since then, China underwent a series of economic reforms that included key tax reductions that helped drive the growth of its private sector.
In the United Kingdom, tax rates were 52% four decades ago and now fall at 25%. The U.S. tells a similar story, with corporate rates standing at 46% in 1980—more than double the rates seen today. Major corporate tax cuts were seen during Reagan’s presidency during the 1980s, when rates were cut to 35%, and later in 2017 when they were further reduced to 21% under the Tax Cuts and Jobs Act.
This article was published as a part of Visual Capitalist's Creator Program, which features data-driven visuals from some of our favorite Creators around the world.
Maps
Mapped: The 10 U.S. States With the Lowest Real GDP Growth
In this graphic, we show where real GDP lagged the most across America in 2023 as high interest rates weighed on state economies.
The Top 10 U.S. States, by Lowest Real GDP Growth
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
While the U.S. economy defied expectations in 2023, posting 2.5% in real GDP growth, several states lagged behind.
Last year, oil-producing states led the pack in terms of real GDP growth across America, while the lowest growth was seen in states that were more sensitive to the impact of high interest rates, particularly due to slowdowns in the manufacturing and finance sectors.
This graphic shows the 10 states with the least robust real GDP growth in 2023, based on data from the Bureau of Economic Analysis.
Weakest State Economies in 2023
Below, we show the states with the slowest economic activity in inflation-adjusted terms, using chained 2017 dollars:
Rank | State | Real GDP Growth 2023 YoY | Real GDP 2023 |
---|---|---|---|
1 | Delaware | -1.2% | $74B |
2 | Wisconsin | +0.2% | $337B |
3 | New York | +0.7% | $1.8T |
4 | Missississippi | +0.7% | $115B |
5 | Georgia | +0.8% | $661B |
6 | Minnesota | +1.2% | $384B |
7 | New Hampshire | +1.2% | $91B |
8 | Ohio | +1.2% | $698B |
9 | Iowa | +1.3% | $200B |
10 | Illinois | +1.3% | $876B |
U.S. | +2.5% | $22.4T |
Delaware witnessed the slowest growth in the country, with real GDP growth of -1.2% over the year as a sluggish finance and insurance sector dampened the state’s economy.
Like Delaware, the Midwestern state of Wisconsin also experienced declines across the finance and insurance sector, in addition to steep drops in the agriculture and manufacturing industries.
America’s third-biggest economy, New York, grew just 0.7% in 2023, falling far below the U.S. average. High interest rates took a toll on key sectors, with notable slowdowns in the construction and manufacturing sectors. In addition, falling home prices and a weaker job market contributed to slower economic growth.
Meanwhile, Georgia experienced the fifth-lowest real GDP growth rate. In March 2024, Rivian paused plans to build a $5 billion EV factory in Georgia, which was set to be one of the biggest economic development initiatives in the state in history.
These delays are likely to exacerbate setbacks for the state, however, both Kia and Hyundai have made significant investments in the EV industry, which could help boost Georgia’s manufacturing sector looking ahead.
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