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Luxembourg vs Türkiye: tax rates compared

Between the two, Luxembourg's income tax rate (45.8%) tops Türkiye's (40.8%) by 5pp. The 37-country average is 43.2%: Luxembourg sits above it, Türkiye sits below it.

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

Income Tax

0102030405060World avg 43.2%LU 45.8%TR 40.8%
Income Tax, side by side
CountryRateSource
Luxembourg45.8%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Türkiye40.8%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference+5 ppLuxembourg higherlargest gap on this page

Corporate Tax

0102030405060World avg 22.6%LU 23.9%TR 25%
Corporate Tax, side by side
CountryRateSource
Luxembourg23.9%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Türkiye25%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−1.1 ppTürkiye higher

Between the two, Türkiye's corporate tax rate (25%) tops Luxembourg's (23.9%) by 1.1pp. The 201-country average is 22.6%: both sit above it.

VAT

0102030405060World avg 19.5%LU 17%TR 20%
VAT, side by side
CountryRateSource
Luxembourg17%Source: PWC Worldwide Tax Summaries — Luxembourg (Corporate, Other taxes) · as of 2026-01-13
Türkiye20%Source: PWC Worldwide Tax Summaries — Turkey (Corporate, Other taxes) · as of 2026-03-27
Difference−3 ppTürkiye higher

Between the two, Türkiye's VAT rate (20%) tops Luxembourg's (17%) by 3pp. The 37-country average is 19.5%: Luxembourg sits below it, Türkiye sits above it.

Wealth Tax

0102030405060World avg 0.1%LU 0%TR 0%
Wealth Tax, side by side
CountryRateSource
Luxembourg0%Source: PWC Worldwide Tax Summaries — Luxembourg (Individual, Other taxes) · as of 2026-01-13
Türkiye0%Source: PWC Worldwide Tax Summaries — Türkiye (Individual, Other taxes) · as of 2026-03-27
Difference0 ppdisplayed rates match

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

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