Corporate Tax Rate By Country

In every corner of our globe, companies grapple with the complexities of corporate tax - a key economic lever that impacts both businesses and national economies. Established by jurisdictions worldwide, corporate tax refers to a tax imposed on the profits of corporations and businesses. With no global standard to govern these rates, they are determined by the local, federal, or national governments of each country, leading to stark variations in corporate tax rates globally. In 2021, 20 nations modified their statutory corporate income taxes, yielding a fascinating insight into global trends and regional nuances in business taxation.

Key Findings:

• The African nation of Comoros has the highest corporate tax rate in the world at a staggering 50%. This rate is followed by Puerto Rico at 37% and Suriname at 36%. 
• On the other end of the spectrum, nations like Barbados (5%), Uzbekistan (7%), and Turkmenistan (8%) offer some of the world's lowest corporate tax rates, excluding jurisdictions where the tax rate is zero.
• In the whirlwind of 2021, 20 countries made significant changes to their statutory corporate income tax rates. Interestingly, while three countries chose to increase their rates, the lion's share of changes (17 countries) led to decreased rates.
• Among countries that increased their rates, Bangladesh had a significant jump from 25% to 32.5%, followed by Argentina from 30% to 35%, and Gibraltar from 10% to 12.5%.
• Among those that slashed rates, the reductions ranged from a modest dip of less than 1% in Sweden to a whopping fall of 15% in Chile.
• A unique group of 15 countries, including popular tax havens such as Bermuda, the Cayman Islands, and the United Arab Emirates, have done away with general corporate income tax entirely.