IT · EuropeLK · Asia

Italy vs Sri Lanka: tax rates compared

Italy has an income tax rate of 47.2%, 11.2pp above Sri Lanka's 36%. The 200-country average is 28%: both sit above it.

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

0102030405060Income36%47.2%Corporate27.8%30%VAT18%22%Capital Gains0%26%Wealth Tax0%
five shared taxes, side by side
Tax IT LKDifference
Income Tax47.2%36%IT +11.2 pp
Corporate Tax27.8%30%LK +2.2 pp
VAT22%18%IT +4 pp
Capital Gains Tax26%0%IT +26 pplargest gap
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
Sri Lanka36%Source: Inland Revenue Department, Sri Lanka — Tax Chart, Year of Assessment 2025/2026 · as of 2025-08-28
Difference+11.2 ppItaly higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Italy27.8%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Sri Lanka30%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−2.2 ppSri Lanka higher

Sri Lanka has a corporate tax rate of 30%, 2.2pp above Italy's 27.8%. The 201-country average is 22.6%: both sit above it.

VAT

VAT, side by side
CountryRateSource
Italy22%Source: PWC Worldwide Tax Summaries — Italy (Corporate, Other taxes) · as of 2026-07-13
Sri Lanka18%Source: Sri Lanka Inland Revenue Department — Value Added Tax (VAT) · as of 2024-01-01
Difference+4 ppItaly higher

Italy has a VAT rate of 22%, 4pp above Sri Lanka's 18%. The 181-country average is 15%: both sit above it. Italy's figure is dated 2026-07-13 and Sri Lanka's 2024-01-01, 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
Sri Lanka0%Source: Inland Revenue Department, Sri Lanka — Capital Gain Tax (CGT) · as of 2025-11-19
Difference+26 ppItaly higher

Italy has a capital gains tax rate of 26%, 26pp above Sri Lanka's 0%. The 175-country average is 10.3%: Italy sits above it, Sri Lanka sits below it. Italy's figure is dated 2019-01-01 and Sri Lanka's 2025-11-19, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Italy0%Source: Agenzia delle Entrate — IVIE, base imponibile e aliquota · as of 2024-01-01
Sri Lanka0%Source: Sri Lanka Inland Revenue Department — Acts of Parliament (tax legislation listing) · as of 2026-07-18
Difference0 ppdisplayed rates match

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

Not covered for both countries yet: Crypto Tax.