HK · AsiaLU · Europe
Hong Kong vs Luxembourg: tax rates compared
Between the two, Luxembourg's income tax rate (45.8%) tops Hong Kong's (17%) by 28.8pp. The 200-country average is 28%: Hong Kong sits below it, Luxembourg sits above it.
Verified data covers six of the six tracked tax types for both countries; every rate below is cited to its source and dated.
At a glance
| Tax | HK | LU | Difference |
|---|---|---|---|
| Income Tax | 17% | 45.8% | LU +28.8 pplargest gap |
| Corporate Tax | 16.5% | 23.9% | LU +7.4 pp |
| VAT | 0% | 17% | LU +17 pp |
| Capital Gains Tax | 0% | 0% | match |
| Crypto Tax | 0% | 0% | match |
| Wealth Tax | 0% | 0% | match |
Income Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 17% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Taxes on personal income) · as of 2025-12-31 |
| Luxembourg | 45.8% | Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01 |
| Difference | −28.8 pp | Luxembourg higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 16.5% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Luxembourg | 23.9% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | −7.4 pp | Luxembourg higher |
Between the two, Luxembourg's corporate tax rate (23.9%) tops Hong Kong's (16.5%) by 7.4pp. The 201-country average is 22.6%: Hong Kong sits below it, Luxembourg sits above it.
VAT
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Corporate, Other taxes) · as of 2025-12-31 |
| Luxembourg | 17% | Source: PWC Worldwide Tax Summaries — Luxembourg (Corporate, Other taxes) · as of 2026-01-13 |
| Difference | −17 pp | Luxembourg higher |
Between the two, Luxembourg's VAT rate (17%) tops Hong Kong's (0%) by 17pp. The 181-country average is 15%: Hong Kong sits below it, Luxembourg sits above it. Hong Kong's figure is dated 2025-12-31 and Luxembourg's 2026-01-13, so the two rates come from different data vintages.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Income determination) · as of 2025-12-31 |
| Luxembourg | 0% | Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Income determination) · as of 2026-01-13 |
| Difference | 0 pp | displayed rates match |
There's no gap here — Hong Kong and Luxembourg both post a capital gains tax rate of 0%. The 175-country average is 10.3%: both sit below it. Hong Kong's figure is dated 2025-12-31 and Luxembourg's 2026-01-13, so the two rates come from different data vintages.
Crypto Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: Hong Kong Inland Revenue Department — Departmental Interpretation and Practice Notes No. 39 (Revised): Digital Economy, Electronic Commerce and Digital Assets · as of 2020-03-01 |
| Luxembourg | 0% | Source: Luxembourg Direct Tax Administration (Administration des contributions directes) — Circular L.I.R. n° 14/5 – 99/3 – 99bis/3 (26 July 2018), "Monnaies virtuelles" · as of 2018-07-26 |
| Difference | 0 pp | displayed rates match |
There's no gap here — Hong Kong and Luxembourg both post a crypto tax rate of 0%. The 88-country average is 13%: both sit below it. Hong Kong's figure is dated 2020-03-01 and Luxembourg's 2018-07-26, so the two rates come from different data vintages.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Other taxes) · as of 2025-12-31 |
| Luxembourg | 0% | Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Other taxes) · as of 2026-01-13 |
| Difference | 0 pp | displayed rates match |
There's no gap here — Hong Kong and Luxembourg both post a wealth tax rate of 0%. The 193-country average is 0.1%: both sit below it. Hong Kong's figure is dated 2025-12-31 and Luxembourg's 2026-01-13, so the two rates come from different data vintages.