IE · EuropeLU · Europe

Ireland vs Luxembourg: tax rates compared

Between the two, Ireland's income tax rate (48%) tops Luxembourg's (45.8%) by 2.2pp. The 200-country average is 28%: both sit 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

0102030405060Income45.8%48%Corporate12.5%23.9%VAT17%23%Capital Gains0%33%Crypto0%33%Wealth Tax0%
six shared taxes, side by side
Tax IE LUDifference
Income Tax48%45.8%IE +2.2 pp
Corporate Tax12.5%23.9%LU +11.4 pp
VAT23%17%IE +6 pp
Capital Gains Tax33%0%IE +33 pplargest gap
Crypto Tax33%0%IE +33 pp
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Ireland48%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+2.2 ppIreland higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Ireland12.5%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−11.4 ppLuxembourg higher

Between the two, Luxembourg's corporate tax rate (23.9%) tops Ireland's (12.5%) by 11.4pp. The 201-country average is 22.6%: Ireland sits below it, Luxembourg sits above it.

VAT

VAT, side by side
CountryRateSource
Ireland23%Source: PWC Worldwide Tax Summaries — Ireland (Corporate, Other taxes) · as of 2026-03-06
Luxembourg17%Source: PWC Worldwide Tax Summaries — Luxembourg (Corporate, Other taxes) · as of 2026-01-13
Difference+6 ppIreland higher

Between the two, Ireland's VAT rate (23%) tops Luxembourg's (17%) by 6pp. The 181-country average is 15%: both sit above it.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Ireland33%Source: PWC Worldwide Tax Summaries — Ireland (Individual, Income determination) · as of 2026-03-06
Luxembourg0%Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Income determination) · as of 2026-01-13
Difference+33 ppIreland higher

Between the two, Ireland's capital gains tax rate (33%) tops Luxembourg's (0%) by 33pp. The 175-country average is 10.3%: Ireland sits above it, Luxembourg sits below it.

Crypto Tax

Between the two, Ireland's crypto tax rate (33%) tops Luxembourg's (0%) by 33pp. The 88-country average is 13%: Ireland sits above it, Luxembourg sits below it. Ireland's figure is dated 2026-01-01 and Luxembourg's 2018-07-26, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Ireland0%Source: PWC Worldwide Tax Summaries — Ireland (Individual, Other taxes) · as of 2026-03-06
Luxembourg0%Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Other taxes) · as of 2026-01-13
Difference0 ppdisplayed rates match

There's no gap here — Ireland and Luxembourg both post a wealth tax rate of 0%. The 193-country average is 0.1%: both sit below it.