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Countries with the Highest Income Tax 2026

Jurisdictions whose top personal income tax rate is 40% or more, sorted highest first. Countries with income tax of 20% or less have their own list; this is the other end, with capital gains, dividend tax, wealth tax and inheritance tax alongside.

11 countries in this list

Short answer: Tax Atlas tracks 11 of 53 jurisdictions that meet this list's criteria: Canada, Spain, Netherlands, Portugal, Australia, France, Germany, United Kingdom and 3 more. The key figures for each are in the table below.

How This List Works

This page is generated from the TaxAtlas dataset. Rankings use the personal and business scores plus the underlying tax data (rates, foreign income treatment, and key notes). Always verify details using the sources listed on each country page.

1
🇨🇦

Canada

North America
High Tax Comparator
2
🇪🇸

Spain

Europe
High Tax Comparator
3
🇳🇱

Netherlands

Europe
Special RegimeHigh Tax Comparator
4
🇵🇹

Portugal

Europe
Special Regime
5
🇦🇺

Australia

Oceania
High Tax Comparator
6
🇫🇷

France

Europe
High Tax Comparator
7
🇩🇪

Germany

Europe
High Tax Comparator
8
🇬🇧

United Kingdom

Europe
High Tax Comparator
9
🇬🇷

Greece

Europe
Special Regime
10
🇮🇹

Italy

Europe
High Tax Comparator
11
🇮🇪

Ireland

Europe
Low Rate

Key figures at a glance

The figures this list is built on, for every country in it. WHT is the standard withholding tax a company pays on outbound payments to non-residents, before any treaty reduction.

CountryTop income taxCapital gainsDividend taxWealth taxInheritance tax
CanadaNorth America33-54.8%0-27%0-47.74%NoNo
SpainEurope47-54%19-30%19-30%YesYes
NetherlandsEurope49.5%31%24.5-31%YesYes
PortugalEurope48%28%28%NoNo
AustraliaOceania45%0-45%0-45%NoNo
FranceEurope45%0-34.5%12.8-34.5%YesYes
GermanyEurope45%0-26.375%26.375%NoYes
United KingdomEurope45%18-24%10.75-39.35%NoYes
GreeceEurope44%15%5%NoYes
ItalyEurope43%26%26%YesYes
IrelandEurope40%33%0-33%NoYes

Figures come from each country profile in the Tax Atlas dataset; each country page lists its sources and last-updated date. Rates are headline rates for residents; special regimes, treaty rates and local taxes can change the result. Not tax advice: verify with a qualified adviser.

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FAQ

Which countries have the highest income tax?

Of the 53 jurisdictions Tax Atlas tracks, 11 have a top personal income tax rate of 40% or more in the dataset. The highest are Canada (33-54.8%), Spain (47-54%), Netherlands (49.5%), Portugal (48%), Australia (45%). The key figures table shows capital gains, dividend, wealth and inheritance tax for each.

Why do some countries show a range for the top rate?

For Canada, Spain, the top rate depends on where in the country you live, because a state, regional or provincial income tax is added to the national one. The dataset records the range, and this list ranks by the upper end of it.

Do high-tax countries offer tax breaks to newcomers?

Canada, Spain, Netherlands, Portugal, Australia, France, United Kingdom, Greece, Italy, Ireland have at least one special regime in the dataset, such as a newcomer, non-dom or flat-tax option, that can lower the tax a new resident pays for a period. The conditions are strict and change often; each country page lists them, and the high-tax countries with tax breaks guide compares them.

Which high-income-tax countries have no wealth or inheritance tax?

Canada, Portugal, Australia charge neither an annual wealth tax nor an inheritance or estate tax in the dataset, despite a top income tax rate of 40% or more.

Is the top rate what a resident actually pays?

No. The top rate is marginal: it applies only to income above the highest bracket threshold, so the average rate on a whole salary is lower. Social security contributions, surcharges and local taxes can add to it, and allowances or special regimes can reduce it. Verify your own position with a qualified adviser.

How are these lists ranked?

Lists are generated from the country dataset using the criteria described on each country page (rates, foreign income treatment, and practical notes). Always confirm details with official sources.

Are these countries “tax free” for everyone?

Not necessarily. Residency rules, source rules, and special regimes vary by person. Use these lists as a starting point and verify your situation with local professionals.

How often is this updated?

We monitor listed sources periodically and update entries when changes are confirmed. Country pages show their last-updated date and citations.

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