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Visualizing the Countries With the Lowest Corporate Tax Rates

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See this visualization first on the Voronoi app.

This circle graphic shows the countries with the lowest tax rates in 2023.

Countries With the Lowest 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.

The lowest corporate tax rates are known to be found in smaller countries to attract investment from multinational corporations and foreign firms.

In fact, multinationals sheltered $1 trillion in profits in tax havens in 2022 alone. Many of these countries have corporate taxation rates of 0%, while others have rates falling around 5%. By comparison, the global average corporate tax rate stands at 23.5%.

The above graphic, from Pranav Gavali, shows where corporate taxation rates are the lowest as of 2023.

Ranked: The Top 10 Lowest Corporate Taxation Rates

Below, we rank the countries with the lowest taxation rates for corporations, based on data from the Tax Foundation. Countries with tax rates of 0% are not included:

RankCountryCorporate Tax Rate
2023
CountryCorporate Tax Rate
1980
1🇧🇧 Barbados5.5%🇭🇰 Hong Kong17.0%
2🇹🇲 Turkmenistan8.0%🇯🇪 Jersey20.0%
3🇭🇺 Hungary9.0%🇬🇬 Guernsey20.0%
4🇦🇪 UAE9.0%🇪🇨 Ecuador20.0%
5🇦🇩 Andorra10.0%🇵🇷 Puerto Rico22.0%
6🇧🇦 Bosnia and Herzegovina10.0%🇺🇾 Uruguay25.0%
7🇧🇬 Bulgaria10.0%🇧🇴 Bolivia30.0%
8🇽🇰 Kosovo10.0%🇸🇻 El Salvador30.0%
9🇰🇬 Kyrgyzstan10.0%🇵🇾 Paraguay30.0%
10🇵🇾 Paraguay10.0%🇲🇹 Malta32.5%

Perhaps as no surprise, Barbados ranks top on the list, a tax haven where American corporations have transferred profits that exceed the country’s entire GDP.

Like the U.S., many big Canadian companies—from grocery giant Loblaws to Petro-Canada—shelter profits in the country thanks to a tax treaty signed in 1980. Overall, the Tax Justice Network estimates that $62 million in profits are shifted into the country across global multinational companies annually.

With the lowest rate in the Middle East, UAE ranks fourth on the list. For the first time ever in 2023, the country increased its corporate tax rate from 0% to 9% to better align with the international push in raising corporate tax rates. This also allows the country to diversify revenues, which are heavily concentrated in the energy sector.

Compared to 1980, tax rates have fallen across the board. We can see that in 1980, Hong Kong had the lowest rate, which stood at 17% to encourage business investment.

Overall, 91% of countries across 225 jurisdictions have corporate tax rates under 30% today.

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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.

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U.S. Debt Interest Payments Reach $1 Trillion

U.S. debt interest payments have surged past the $1 trillion dollar mark, amid high interest rates and an ever-expanding debt burden.

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This line chart shows U.S. debt interest payments over modern history.

U.S. Debt Interest Payments Reach $1 Trillion

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.

The cost of paying for America’s national debt crossed the $1 trillion dollar mark in 2023, driven by high interest rates and a record $34 trillion mountain of debt.

Over the last decade, U.S. debt interest payments have more than doubled amid vast government spending during the pandemic crisis. As debt payments continue to soar, the Congressional Budget Office (CBO) reported that debt servicing costs surpassed defense spending for the first time ever this year.

This graphic shows the sharp rise in U.S. debt payments, based on data from the Federal Reserve.

A $1 Trillion Interest Bill, and Growing

Below, we show how U.S. debt interest payments have risen at a faster pace than at another time in modern history:

DateInterest PaymentsU.S. National Debt
2023$1.0T$34.0T
2022$830B$31.4T
2021$612B$29.6T
2020$518B$27.7T
2019$564B$23.2T
2018$571B$22.0T
2017$493B$20.5T
2016$460B$20.0T
2015$435B$18.9T
2014$442B$18.1T
2013$425B$17.2T
2012$417B$16.4T
2011$433B$15.2T
2010$400B$14.0T
2009$354B$12.3T
2008$380B$10.7T
2007$414B$9.2T
2006$387B$8.7T
2005$355B$8.2T
2004$318B$7.6T
2003$294B$7.0T
2002$298B$6.4T
2001$318B$5.9T
2000$353B$5.7T
1999$353B$5.8T
1998$360B$5.6T
1997$368B$5.5T
1996$362B$5.3T
1995$357B$5.0T
1994$334B$4.8T
1993$311B$4.5T
1992$306B$4.2T
1991$308B$3.8T
1990$298B$3.4T
1989$275B$3.0T
1988$254B$2.7T
1987$240B$2.4T
1986$225B$2.2T
1985$219B$1.9T
1984$205B$1.7T
1983$176B$1.4T
1982$157B$1.2T
1981$142B$1.0T
1980$113B$930.2B
1979$96B$845.1B
1978$84B$789.2B
1977$69B$718.9B
1976$61B$653.5B
1975$55B$576.6B
1974$50B$492.7B
1973$45B$469.1B
1972$39B$448.5B
1971$36B$424.1B
1970$35B$389.2B
1969$30B$368.2B
1968$25B$358.0B
1967$23B$344.7B
1966$21B$329.3B

Interest payments represent seasonally adjusted annual rate at the end of Q4.

At current rates, the U.S. national debt is growing by a remarkable $1 trillion about every 100 days, equal to roughly $3.6 trillion per year.

As the national debt has ballooned, debt payments even exceeded Medicaid outlays in 2023—one of the government’s largest expenditures. On average, the U.S. spent more than $2 billion per day on interest costs last year. Going further, the U.S. government is projected to spend a historic $12.4 trillion on interest payments over the next decade, averaging about $37,100 per American.

Exacerbating matters is that the U.S. is running a steep deficit, which stood at $1.1 trillion for the first six months of fiscal 2024. This has accelerated due to the 43% increase in debt servicing costs along with a $31 billion dollar increase in defense spending from a year earlier. Additionally, a $30 billion increase in funding for the Federal Deposit Insurance Corporation in light of the regional banking crisis last year was a major contributor to the deficit increase.

Overall, the CBO forecasts that roughly 75% of the federal deficit’s increase will be due to interest costs by 2034.

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