LV · Europe ↔ LU · Europe

Latvia vs Luxembourg: tax rates compared

Luxembourg's corporate tax rate is 3.9pp higher than Latvia's (23.9% vs 20%). The 201-country average is 22.6%: Latvia sits below it, Luxembourg sits above it.

Verified data covers three of the six tracked tax types for both countries; every rate below is cited to its source and dated.

Corporate Tax

0102030405060World avg 22.6%LV 20%LU 23.9%
Corporate Tax, side by side
CountryRateSource
Latvia20%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−3.9 ppLuxembourg higher

VAT

0102030405060World avg 19.5%LV 21%LU 17%
VAT, side by side
CountryRateSource
Latvia21%Source: PWC Worldwide Tax Summaries — Latvia (Corporate, Other taxes) · as of 2026-06-30
Luxembourg17%Source: PWC Worldwide Tax Summaries — Luxembourg (Corporate, Other taxes) · as of 2026-01-13
Difference+4 ppLatvia higherlargest gap on this page

Latvia's VAT rate is 4pp higher than Luxembourg's (21% vs 17%). The 37-country average is 19.5%: Latvia sits above it, Luxembourg sits below it.

Wealth Tax

0102030405060World avg 0.1%LV 0%LU 0%
Wealth Tax, side by side
CountryRateSource
Latvia0%Source: PWC Worldwide Tax Summaries — Net wealth/worth tax rates (quick chart) · as of 2026-06-30
Luxembourg0%Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Other taxes) · as of 2026-01-13
Difference0 ppdisplayed rates match

Latvia's wealth tax rate is identical to Luxembourg's — both sit at 0%. The 193-country average is 0.1%: both sit below it.

Not covered for both countries yet: Income Tax, Capital Gains Tax, Crypto Tax.