7 Countries With The Lowest Corporate Tax Rates
7 Countries With The Lowest Corporate Tax Rates
Everyone has an opinion on corporate tax rates. “They’re too low!” “They’re too high!” “What’s the effective tax rate?” But how do our corporate taxes compare to other countries? Which countries have the lowest corporate tax rates?
Let’s take a look at those countries now, and say a little bit about each of them. (For comparison, the U.S. corporate tax rate in 2020 is 21%.)
7. Hungary
Rate: 9%
Photo by Daniel Barbarics on Unsplash
Hungary recently suffered the indignity of losing its status as a democracy. Not great if you love civic freedoms. But if you’re more interested in financial freedom, Hungary is the place for you. The country lowered its corporate tax rate to an anemic 9% in 2017 in order to attract investment.
6. Montenegro
Rate: 9%
Photo by Wladislaw Peljuchno on Unsplash
The tiny Balkan nation of Montenegro ties with Hungary for the lowest tax rate in Europe. This is part of a theme. Tiny nations have a hard time jump-starting their economies since they have small work forces. One way of compensating for this is by becoming a tax haven.
5. Andorra
Rate: 10%
Unsplash
Andorra falls into the same category as Montenegro. It’s a small nation in the Pyrenees, between Spain and France. Andorra is known for its skiing and other alpine sports. Oh, and also for avoiding taxes. The country didn’t even have an income tax until 2015.
4. Bosnia and Herzegovina
Rate: 10%
Photo by Alexandre on Unsplash
Bosnia and Herzegovina is one of the world’s newer states. It also boasts some of the lowest corporate taxes in the world. The lack of government intervention is surely a tactic to help attract investment to the former Yugoslav state.
3. Bulgaria
Rate: 10%
Image by Martin Lazarov from Pixabay
Corporate taxes in Bulgaria are very simple. It’s a 10% flat tax, period, full stop. Not only is that number competitively low, the flat nature of the tax also means confusion is minimal for taxpayers in Bulgaria.
2. North Macedonia
Rate: 10%
Photo by Antonio Janeski on Unsplash
The corporate rate is very low in North Macedonia. Like Bulgaria its application is simple. It’s a 10% rate for anyone making money in the country. But take note: that includes capital gains.
1. Moldova
Rate: 12%
Image by osoian-marcel from Pixabay
Moldova is sort of sandwiched between Romania and Ukraine. Like many relatively new countries, Moldova has opted for one of the lowest corporate tax rates in the world. That’s certainly one way to attract foreign capital.
READ MORE
Your landlord sold the building and the new owner plans to evict long-term tenants. We look at your rights, timelines, and protections for a situation like this.
In its heyday, Sears was America’s largest retailer. But after years of terrible business decisions, the Sears success story unravelled.
Lately, it feels like every risky corner of the market is sinking together. Crypto’s losing steam, and even the stocks can’t hold a rally irrespective of the market you trade in. The slide feels coordinated, and people are noticing.
Many people keep cash at home because it feels simple and safe. The real problems appear when unexpected events reveal how fragile that choice can be—and where should you go but the internet when the worst happens.
If yuor spouse shows no interest in planning your retirement together, there's nothing stopping you from starting the process yourself.
The success story of Crocs footwear comes from a simple manufacturing process and a smart marketing strategy.
Disclaimer
The information on MoneyMade.com is intended to support financial literacy and should not be considered tax or legal advice. It is not meant to serve as a forecast, research report, or investment recommendation, nor should it be taken as an offer or solicitation to buy or sell any securities or adopt any particular investment strategy. All financial, tax, and legal decisions should be made with the help of a qualified professional. We do not guarantee the accuracy, timeliness, or outcomes associated with the use of this content.
Dear reader,
It’s true what they say: money makes the world go round. In order to succeed in this life, you need to have a good grasp of key financial concepts. That’s where Moneymade comes in. Our mission is to provide you with the best financial advice and information to help you navigate this ever-changing world. Sometimes, generating wealth just requires common sense. Don’t max out your credit card if you can’t afford the interest payments. Don’t overspend on Christmas shopping. When ordering gifts on Amazon, make sure you factor in taxes and shipping costs. If you need a new car, consider a model that’s easy to repair instead of an expensive BMW or Mercedes. Sometimes you dream vacation to Hawaii or the Bahamas just isn’t in the budget, but there may be more affordable all-inclusive hotels if you know where to look.
Looking for a new home? Make sure you get a mortgage rate that works for you. That means understanding the difference between fixed and variable interest rates. Whether you’re looking to learn how to make money, save money, or invest your money, our well-researched and insightful content will set you on the path to financial success. Passionate about mortgage rates, real estate, investing, saving, or anything money-related? Looking to learn how to generate wealth? Improve your life today with Moneymade. If you have any feedback for the MoneyMade team, please reach out to [email protected]. Thanks for your help!
Warmest regards,
The Moneymade team
Photo by Daniel Barbarics on Unsplash
Photo by Wladislaw Peljuchno on Unsplash
Photo by Alexandre on Unsplash
Image by Martin Lazarov from Pixabay
Photo by Antonio Janeski on Unsplash
Image by osoian-marcel from Pixabay
