Ongoing changes in top personal income tax rates in Europe

In 2019, income from personal income taxes made up 24% of absolute duty income across OECD nations. Nations charge work pay in different ways through taxes, personal income taxes, and, in some cases, surtaxes.

Somewhere in the range of 2018 and 2021, eight European nations in the OECD changed their top individual personal duty rates. Of these eight nations, four cut their top personal income tax rates while the other four raised their top rates.

The Czech Republic, Latvia, and Lithuania moved from flat taxes on close to home pay to reformist assessment structures. Spain expanded its top individual annual expense rate. Sweden dispensed with a surtax. A surtax in Greece has been briefly suspended. The Netherlands rolled out a slight improvement to its own personal duty rates. Turkey added another top individual personal duty section.

Czech Republic

Starting at 2021, the Czech Republic has once again introduced reformist tax assessment with a top pace of 23% on pay past CZK 1 million (US $78,000). Already, a 15 percent level assessment applied.


Greece decreased the top personal income tax rate from 55 to 54 percent (44 percent personal assessment in addition to 10 percent fortitude extra charge) in 2020. In 2021, the fortitude extra charge was suspended for a wide range of pay, other than pay from public area work and annuities. The top rate applies to pay surpassing €40,000 (US $45,610).


In 2018, Latvia moved its framework from a flat tax on personal income to a reformist assessment. Before this change, Latvia applied a 23 percent level assessment. The new framework has three separate sections, at 20%, 23%, and 31 percent (31.4 percent before 2021). The top rate applies to pay above €62,800 (US $71,608) in 2021.


In 2019, Lithuania changed from a 15 percent flat personal income tax to a reformist personal assessment at first with two sections with paces of 20% and 27 percent. The current top rate is presently 32%. The top section applies to pay above €81,162 (US $92,545).


The reformist duty framework in the Netherlands moved from four brackets with a top individual annual expense pace of 52% to three sections with a top pace of 51.75 percent in 2019. The section structure was additionally altered in 2020, decreasing the top individual personal assessment section to 49.5 percent.


Spain has a financially decentralized framework with personal income tax rates that are a mix of national and regional policies. Madrid has the most minimal consolidated individual annual expense rate in the country—a 21 percent nearby duty rate in addition to the current 24.5 percent public personal assessment rate brings about a 45.5 percent joined rate. The most noteworthy rate is 54% in Valencia Community. In 2020, the public rate was expanded from 22.5 to 24.5, subsequently expanding rates all through the country.


Sweden eliminated its top personal income tax rate in 2020, which had added a 5 percent surtax to salaries surpassing SEK 703,000 (US $76,372). Sweden collects an expense pace of 20% on livelihoods above SEK 523,200 (US $56,839) just as a changing civil duty rate. The current normal city rate is 32.85 percent.


In 2020, Turkey presented another top personal income tax rate of 40% which applies to profit past TRY 650,000 (US $92,527). The new rate has been added to Turkey’s duty sections of 15, 20, 27, and 35 percent.

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