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Estonia vs Luxembourg: tax rates compared

Luxembourg's income tax rate is 23.8pp higher than Estonia's (45.8% vs 22%). The 37-country average is 43.2%: Estonia sits below it, Luxembourg sits above it.

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

Income Tax

0102030405060World avg 43.2%EE 22%LU 45.8%
Income Tax, side by side
CountryRateSource
Estonia22%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Luxembourg45.8%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference−23.8 ppLuxembourg higherlargest gap on this page

Corporate Tax

0102030405060World avg 22.6%EE 22%LU 23.9%
Corporate Tax, side by side
CountryRateSource
Estonia22%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Luxembourg23.9%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−1.9 ppLuxembourg higher

Luxembourg's corporate tax rate is 1.9pp higher than Estonia's (23.9% vs 22%). The 201-country average is 22.6%: Estonia sits below it, Luxembourg sits above it.

VAT

0102030405060World avg 19.5%EE 24%LU 17%
VAT, side by side
CountryRateSource
Estonia24%Source: Estonian Tax and Customs Board (EMTA) — Value added tax · as of 2025-07-01
Luxembourg17%Source: PWC Worldwide Tax Summaries — Luxembourg (Corporate, Other taxes) · as of 2026-01-13
Difference+7 ppEstonia higher

Estonia's VAT rate is 7pp higher than Luxembourg's (24% vs 17%). The 37-country average is 19.5%: Estonia sits above it, Luxembourg sits below it. Estonia's figure is dated 2025-07-01 and Luxembourg's 2026-01-13, so the two rates come from different data vintages.

Wealth Tax

0102030405060World avg 0.1%EE 0%LU 0%
Wealth Tax, side by side
CountryRateSource
Estonia0%Source: PWC Worldwide Tax Summaries — Net wealth/worth tax rates (quick chart) · as of 2026-05-29
Luxembourg0%Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Other taxes) · as of 2026-01-13
Difference0 ppdisplayed rates match

Estonia's wealth tax rate is identical to Luxembourg's — both sit at 0%. The 193-country average is 0.1%: both sit below it.

Not covered for both countries yet: Capital Gains Tax, Crypto Tax.