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Canada vs China: tax rates compared

Between the two, Canada's income tax rate (53.5%) tops China's (45%) by 8.5pp. The 200-country average is 28%: both sit above it.

Verified data covers five of the six tracked tax types for both countries; every rate below is cited to its source and dated.

At a glance

0102030405060Income45%53.5%Corporate25%26%VAT5%13%Capital Gains0%27.4%Wealth Tax0%
five shared taxes, side by side
Tax CA CNDifference
Income Tax53.5%45%CA +8.5 pp
Corporate Tax26%25%CA +1 pp
VAT5%13%CN +8 pp
Capital Gains Tax27.4%0%CA +27.4 pplargest gap
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Canada53.5%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
China45%Source: PWC Worldwide Tax Summaries — China, People's Republic of (Individual, Taxes on personal income) · as of 2025-12-31
Difference+8.5 ppCanada higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Canada26%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
China25%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference+1 ppCanada higher

Between the two, Canada's corporate tax rate (26%) tops China's (25%) by 1pp. The 201-country average is 22.6%: both sit above it.

VAT

VAT, side by side
CountryRateSource
Canada5%Source: PWC Worldwide Tax Summaries — Canada (Corporate, Other taxes) · as of 2026-06-12
China13%Source: PWC Worldwide Tax Summaries — China, People's Republic of (Corporate, Other taxes) · as of 2025-12-31
Difference−8 ppChina higher

Between the two, China's VAT rate (13%) tops Canada's (5%) by 8pp. The 181-country average is 15%: both sit below it. Canada's figure is dated 2026-06-12 and China's 2025-12-31, so the two rates come from different data vintages.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Canada27.4%Source: PWC Worldwide Tax Summaries — Canada (Individual, Taxes on personal income) · as of 2026-06-12
China0%Source: State Taxation Administration Shanxi Provincial Tax Service — Caishuizi [1998] No. 61 (财税字〔1998〕61号) · as of 1998-03-30
Difference+27.4 ppCanada higher

Between the two, Canada's capital gains tax rate (27.4%) tops China's (0%) by 27.4pp. The 175-country average is 10.3%: Canada sits above it, China sits below it. Canada's figure is dated 2026-06-12 and China's 1998-03-30, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Canada0%Source: PWC Worldwide Tax Summaries — Canada (Individual, Other taxes) · as of 2026-06-12
China0%Source: PWC Worldwide Tax Summaries — China, People's Republic of (Individual, Other taxes) · as of 2025-12-31
Difference0 ppdisplayed rates match

There's no gap here — Canada and China both post a wealth tax rate of 0%. The 193-country average is 0.1%: both sit below it. Canada's figure is dated 2026-06-12 and China's 2025-12-31, so the two rates come from different data vintages.

Not covered for both countries yet: Crypto Tax.