IT · EuropePW · Oceania

Italy vs Palau: tax rates compared

Italy's income tax rate is 35.2pp higher than Palau's (47.2% vs 12%). The 200-country average is 28%: Italy sits above it, Palau sits below it. Italy's figure is dated 2025-01-01 and Palau's 2026-07-20, so the two rates come from different data vintages.

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

0102030405060Income12%47.2%VAT10%22%Capital Gains0%26%Crypto0%33%Wealth Tax0%
five shared taxes, side by side
Tax IT PWDifference
Income Tax47.2%12%IT +35.2 pplargest gap
VAT22%10%IT +12 pp
Capital Gains Tax26%0%IT +26 pp
Crypto Tax33%0%IT +33 pp
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Italy47.2%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Palau12%Source: Government of Palau — Bureau of Revenue and Taxation, Wages and Salary Tax · as of 2026-07-20
Difference+35.2 ppItaly higher

VAT

VAT, side by side
CountryRateSource
Italy22%Source: PWC Worldwide Tax Summaries — Italy (Corporate, Other taxes) · as of 2026-07-13
Palau10%Source: Palau Bureau of Revenue & Taxation — Palau Goods and Services Tax (PGST) · as of 2023-01-01
Difference+12 ppItaly higher

Italy's VAT rate is 12pp higher than Palau's (22% vs 10%). The 181-country average is 15%: Italy sits above it, Palau sits below it. Italy's figure is dated 2026-07-13 and Palau's 2023-01-01, so the two rates come from different data vintages.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Italy26%Source: PWC Worldwide Tax Summaries — Italy (Individual, Income determination) · as of 2019-01-01
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference+26 ppItaly higher

Italy's capital gains tax rate is 26pp higher than Palau's (26% vs 0%). The 175-country average is 10.3%: Italy sits above it, Palau sits below it. Italy's figure is dated 2019-01-01 and Palau's 2026-07-19, so the two rates come from different data vintages.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
Italy33%Source: PWC Worldwide Tax Summaries — Italy (Individual, Other taxes) · as of 2026-02-25
Palau0%Source: Government of Palau — Ministry of Finance, Bureau of Revenue and Taxation · as of 2026-07-19
Difference+33 ppItaly higher

Italy's crypto tax rate is 33pp higher than Palau's (33% vs 0%). The 88-country average is 13%: Italy sits above it, Palau sits below it.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Italy0%Source: Agenzia delle Entrate — IVIE, base imponibile e aliquota · as of 2024-01-01
Palau0%Source: Palau National Code, Title 40 (Revenue and Taxation) — official text · as of 2026-07-18
Difference0 ppdisplayed rates match

Italy's wealth tax rate is identical to Palau's — both sit at 0%. The 193-country average is 0.1%: both sit below it. Italy's figure is dated 2024-01-01 and Palau's 2026-07-18, so the two rates come from different data vintages.

Not covered for both countries yet: Corporate Tax.