There are very few people in the world who pay their taxes gladly. Tax is a bugbear for millions worldwide. Tax rates vary between nations and depend on factors like earnings, marital status, etc. While some countries like the UAE does not impose taxes on the wealth of companies and individuals, some countries charge exorbitant taxes.
Here are the top 10 nations in the world where people pay the highest slice of their earnings to the taxman.
Ireland has successfully attracted reputed companies like Pepsi, SAP, etc with its low corporate tax rate; but it is making up for the loss in revenue by imposing high taxes on its citizens. The tax rate is 48 percent for income more than $40,696. While some experts are of the opinion that high income tax rate may drive young people out of the country, some say that they help in bridging the divide between the rich and the poor.
This northern European country has made significant strides in improving the quality of its education system. Schools do not charge tuition fees. They also serve subsidized meals to fulltime students. But all this has come at a cost. The tax rate is 49.2 percent on income over $87,222. The personal income tax rate averaged 53.10 percent from 1995 to 2014. Tax is imposed on various sources of income like pensions, labor, dividends and interest.