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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
1๐Ÿ‡ง๐Ÿ‡ง Barbados5.5%๐Ÿ‡ญ๐Ÿ‡ฐ Hong Kong17.0%
2๐Ÿ‡น๐Ÿ‡ฒ Turkmenistan8.0%๐Ÿ‡ฏ๐Ÿ‡ช Jersey20.0%
3๐Ÿ‡ญ๐Ÿ‡บ Hungary9.0%๐Ÿ‡ฌ๐Ÿ‡ฌ Guernsey20.0%
4๐Ÿ‡ฆ๐Ÿ‡ช UAE9.0%๐Ÿ‡ช๐Ÿ‡จ Ecuador20.0%
5๐Ÿ‡ฆ๐Ÿ‡ฉ Andorra10.0%๐Ÿ‡ต๐Ÿ‡ท Puerto Rico22.0%
6๐Ÿ‡ง๐Ÿ‡ฆ Bosnia and Herzegovina10.0%๐Ÿ‡บ๐Ÿ‡พ Uruguay25.0%
7๐Ÿ‡ง๐Ÿ‡ฌ Bulgaria10.0%๐Ÿ‡ง๐Ÿ‡ด Bolivia30.0%
8๐Ÿ‡ฝ๐Ÿ‡ฐ Kosovo10.0%๐Ÿ‡ธ๐Ÿ‡ป El Salvador30.0%
9๐Ÿ‡ฐ๐Ÿ‡ฌ Kyrgyzstan10.0%๐Ÿ‡ต๐Ÿ‡พ Paraguay30.0%
10๐Ÿ‡ต๐Ÿ‡พ Paraguay10.0%๐Ÿ‡ฒ๐Ÿ‡น Malta32.5%

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

Like the U.S., many big Canadian companiesโ€”from grocery giant Loblaws to Petro-Canadaโ€”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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Ranked: Average Annual Salaries by Country

See how average annual salaries vary across 30 different countries, adjusted for purchasing power parity (PPP).

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Ranked: Average Annual Salaries by Country

This was originally posted on ourย Voronoi app. Download the app for free onย iOSย orย Androidย and discover incredible data-driven charts from a variety of trusted sources.

There are many reasons for why salaries vary between countries: economic development, cost of living, labor laws, and a variety of other factors. Because of these variables, it can be difficult to gauge the general level of income around the world.

With this in mind, we’ve visualized the average annual salaries of 30 OECD countries, adjusted for purchasing power parity (PPP). This means that the values listed have taken into account the differences in cost of living and inflation between countries.

Data and Key Takeaways

This data was sourced from the OECD (Organisation for Economic Co-operation and Development), an international organization that promotes policies to improve economic and social well-being. It has 38 member countries, though in this instance, data for all of them was not available.

All figures are as of 2022.

RankCountryAverage Annual Salary
(USD, PPP adjusted)
1๐Ÿ‡ฑ๐Ÿ‡บ Luxembourg78,310
2๐Ÿ‡บ๐Ÿ‡ธ U.S.77,463
3๐Ÿ‡จ๐Ÿ‡ญ Switzerland72,993
4๐Ÿ‡ง๐Ÿ‡ช Belgium64,848
5๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark64,127
6๐Ÿ‡ฆ๐Ÿ‡น Austria63,802
7๐Ÿ‡ณ๐Ÿ‡ฑ Netherlands63,225
8๐Ÿ‡ฆ๐Ÿ‡บ Australia59,408
9๐Ÿ‡จ๐Ÿ‡ฆ Canada59,050
10๐Ÿ‡ฉ๐Ÿ‡ช Germany58,940
11๐Ÿ‡ฌ๐Ÿ‡ง UK53,985
12๐Ÿ‡ณ๐Ÿ‡ด Norway53,756
13๐Ÿ‡ซ๐Ÿ‡ท France52,764
14๐Ÿ‡ฎ๐Ÿ‡ช Ireland52,243
15๐Ÿ‡ซ๐Ÿ‡ฎ Finland51,836
16๐Ÿ‡ธ๐Ÿ‡ช Sweden50,407
17๐Ÿ‡ฐ๐Ÿ‡ท South Korea48,922
18๐Ÿ‡ธ๐Ÿ‡ฎ Slovenia47,204
19๐Ÿ‡ฎ๐Ÿ‡น Italy44,893
20๐Ÿ‡ฎ๐Ÿ‡ฑ Israel44,156
21๐Ÿ‡ช๐Ÿ‡ธ Spain42,859
22๐Ÿ‡ฏ๐Ÿ‡ต Japan41,509
23๐Ÿ‡ต๐Ÿ‡ฑ Poland36,897
24๐Ÿ‡ช๐Ÿ‡ช Estonia34,705
25๐Ÿ‡จ๐Ÿ‡ฟ Czechia33,476
26๐Ÿ‡ต๐Ÿ‡น Portugal31,922
27๐Ÿ‡ญ๐Ÿ‡บ Hungary28,475
28๐Ÿ‡ธ๐Ÿ‡ฐ Slovak Republic26,263
29๐Ÿ‡ฌ๐Ÿ‡ท Greece25,979
30๐Ÿ‡ฒ๐Ÿ‡ฝ Mexico16,685

From this dataset we can see that Luxembourg, the U.S., and Switzerland offer the highest average annual salaries.

All three of these countries are highly developed economies with well-established service sectors, which typically lead to more high-paying jobs. The cost of living in these countries is also relatively high, necessitating higher wages to maintain a standard quality of life.

At the other end of this ranking, Mexico and Greece have the lowest average salaries. In Mexico’s case, the country’s economy has a large portion of lower-wage jobs, particularly in agriculture and manufacturing.

Greece, on the other hand, has struggled with consistently high unemployment since the 2008 global financial crisis. This puts downward pressure on wages because there is a surplus of labor.

See More Economics Graphics From Visual Capitalist

If you enjoy graphics like these, check out Visualized: The Most (and Least) Expensive Cities to Live In.

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