IL · AsiaIT · Europe

Israel vs Italy: tax rates compared

Israel's income tax rate is 2.8pp higher than Italy's (50% vs 47.2%). 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

0102030405060Income47.2%50%Corporate23%27.8%VAT18%22%Capital Gains25%26%Crypto25%33%Wealth Tax0%
six shared taxes, side by side
Tax IL ITDifference
Income Tax50%47.2%IL +2.8 pp
Corporate Tax23%27.8%IT +4.8 pp
VAT18%22%IT +4 pp
Capital Gains Tax25%26%IT +1 pp
Crypto Tax25%33%IT +8 pplargest gap
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Israel50%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Italy47.2%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference+2.8 ppIsrael higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Israel23%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Italy27.8%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−4.8 ppItaly higher

Italy's corporate tax rate is 4.8pp higher than Israel's (27.8% vs 23%). The 201-country average is 22.6%: both sit above it.

VAT

VAT, side by side
CountryRateSource
Israel18%Source: PWC Worldwide Tax Summaries — Israel (Corporate, Other taxes) · as of 2026-06-29
Italy22%Source: PWC Worldwide Tax Summaries — Italy (Corporate, Other taxes) · as of 2026-07-13
Difference−4 ppItaly higher

Italy's VAT rate is 4pp higher than Israel's (22% vs 18%). The 181-country average is 15%: both sit above it.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Israel25%Source: PWC Worldwide Tax Summaries — Israel (Individual, Income determination) · as of 2026-06-29
Italy26%Source: PWC Worldwide Tax Summaries — Italy (Individual, Income determination) · as of 2019-01-01
Difference−1 ppItaly higher

Italy's capital gains tax rate is 1pp higher than Israel's (26% vs 25%). The 175-country average is 10.3%: both sit above it. Israel's figure is dated 2026-06-29 and Italy's 2019-01-01, so the two rates come from different data vintages.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
Israel25%Source: Israel Tax Authority — Income Tax Circular No. 05/2018: Taxation of Activity Using Decentralized Payment Instruments ("Virtual Currencies") · as of 2018-01-17
Italy33%Source: PWC Worldwide Tax Summaries — Italy (Individual, Other taxes) · as of 2026-02-25
Difference−8 ppItaly higher

Italy's crypto tax rate is 8pp higher than Israel's (33% vs 25%). The 88-country average is 13%: both sit above it. Israel's figure is dated 2018-01-17 and Italy's 2026-02-25, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Israel0%Source: PWC Worldwide Tax Summaries — Israel (Individual, Other taxes) · as of 2026-06-29
Italy0%Source: Agenzia delle Entrate — IVIE, base imponibile e aliquota · as of 2024-01-01
Difference0 ppdisplayed rates match

Israel's wealth tax rate is identical to Italy's — both sit at 0%. The 193-country average is 0.1%: both sit below it. Israel's figure is dated 2026-06-29 and Italy's 2024-01-01, so the two rates come from different data vintages.