Which Countries Have the Highest Corporate Tax Rates in the G20?

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5 mins ago

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June 26, 2024 Graphics/Design:

See this visualization first on the Voronoi app.

Which Countries Have the Highest Corporate Tax Rates in G20?

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

In the wake of the 1999 Asian financial crisis, government representatives from the 20 largest economies in the world decided to informally gather to coordinate policy on trade. Thus began the G20.

Together the bloc accounts for more than 85% of the world economy and has been credited with unified policy action in response to world events.

However, despite this shared affiliation, this group is still made of fundamentally different economies with varied policies towards their business entities.

For a quick overview, we visualize and rank the G20 countries by their headline corporate tax rates. Data is sourced from Trading Economics, accessed June 2024. Data for the EU and the African Union (both G20 members) has not been included.

Ranked: G20 Members by Their Corporate Tax Rates

Argentina and India have the highest corporate income tax rates, at 35% in the G20.

However, both countries have a progressive ladder for taxation, so this headline number may only apply to a smaller subset of firms. For foreign companies with a “permanent entity” in India, the rate climbs past 40%.

RankG20 MemberCorporate Tax Rate 1🇦🇷 Argentina35% 2🇮🇳 India35% 3🇧🇷 Brazil34% 4🇯🇵 Japan31% 5🇦🇺 Australia30% 6🇩🇪 Germany30% 7🇲🇽 Mexico30% 8🇨🇦 Canada27% 9🇿🇦 South Africa27% 10🇨🇳 China25% 11🇫🇷 France25% 12🇹🇷 Türkiye25% 13🇬🇧 UK25% 14🇮🇹 Italy24% 15🇰🇷 South Korea24% 16🇮🇩 Indonesia22% 17🇺🇸 U.S.21% 18🇷🇺 Russia20% 19🇸🇦 Saudi Arabia20%
Note: EU and African Union not included. Figures rounded. Data accessed June 2024.

Interestingly, BRICS countries cover the spectrum of corporate tax rates. Starting from the highest (India, Brazil) to middle of the pack (South Africa, China) to lowest (Russia).

On the other hand, most of the G7 cluster in the mid-ranges (24–30%), with Japan the highest outlier

Decarbonisation Culture

Head of Sustainability at CDPQ, Bertrand Millot, highlights the pension fund’s focus on decarbonising the real economy, as well as comprehensively divesting from the oil industry.

Caisse de dépôt et placement du Québec (CDPQ), the Canadian pension fund with net assets of C$434 billion (US$319 billion), recently completed its full withdrawal from oil production and thermal coal mining – thereby becoming one of the first institutional investors to have done so. This achievement was one of…

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Best Visualizations of May on the Voronoi App

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7 seconds ago

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May 30, 2024

At the end of 2023, we publicly launched Voronoi, our free new data discovery app!

The initial response from both users and creators has been incredible. We now have millions of in-app views, and there are already more than 1,000 interesting visualizations to discover, many of which will never be published on Visual Capitalist.

For that reason, we’ve chosen to highlight some of the most popular visualizations and creators from May in this roundup. To see them and many others, make sure to download the app!

Download Voronoi Now

Let’s take a look at a popular creator worth highlighting, as well as the most viewed, most discussed, and most liked posts of the month.

POPULAR CREATOR USAFacts

Visual Capitalist isn’t the only creator on the Voronoi app.

Instead, it features incredible data-driven charts and stories from many of the world’s best data sources, like USAFacts.

USAFacts, which was founded by former Microsoft CEO Steve Ballmer, is a non-profit that aims to collate public sources of U.S. data in one place in a non-partisan way. And on Voronoi, you can see visualizations and the data behind them on an exciting range of topics:

How the U.S. government spends tax dollars Graphing U.S. aid and assistance going to Ukraine and Israel How many encounters happen at U.S. borders each year The cost of major natural disasters in the U.S. by year

Make sure to follow USAFacts on Voronoi today to see many charts, maps, and visualizations on a wide range of U.S.-related topics.

View all visuals from USAFacts on Voronoi today.

MOST VIEWED Ranked: The 20 Countries With the Most Debt to China

Which countries are racking up the most external debt to China?

This visualization from Visual Capitalist was our most viewed of the month, using the latest available data from the World Bank.

Much of this debt was taken on to fund infrastructure projects as part of China’s “One Belt, One Road” initiative, and some countries are running into difficulties repaying these large sums of money.

It should also be noted that this visual focuses in on external debt (i.e. loans made directly to countries) and does not cover publicly-traded securities like U.S. Treasurys.

Get the data behind this visual on Voronoi today.

Visualizing the Tax Burden of Every U.S. State

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31 seconds ago

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May 8, 2024 Graphics/Design:

See this visualization first on the Voronoi app.

Visualizing the Tax Burden of Every U.S. State

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

This map graphic visualizes the total tax burden in each U.S. state as of March 2024, based on figures compiled by WalletHub.

It’s important to understand that under this methodology, the tax burden measures the percent of an average person’s income that is paid towards state and local taxes. It considers property taxes, income taxes, and sales & excise tax.

Data and Methodology

The figures we used to create this graphic are listed in the table below.

StateTotal Tax Burden New York12.0% Hawaii11.8% Vermont11.1% Maine10.7% California10.4% Connecticut10.1% Minnesota10.0% Illinois9.7% New Jersey9.5% Rhode Island9.4% Utah9.4% Kansas9.3% Maryland9.3% Iowa9.2% Nebraska9.2% Ohio8.9% Indiana8.9% Arkansas8.8% Mississippi8.8% Massachusetts8.6% Virginia8.5% West Virginia8.5% Oregon8.4% Colorado8.4% Pennsylvania8.4% Wisconsin8.3% Louisiana8.3% Kentucky8.3% Washington8.0% New Mexico8.0% Michigan8.0% North Carolina7.9% Idaho7.9% Arizona7.8% Missouri7.8% Georgia7.7% Texas7.6% Alabama7.5% Montana7.5% South Carolina7.5% Nevada7.4% Oklahoma7.0% North Dakota6.8% South Dakota6.4% Delaware6.4% Tennessee6.1% Florida6.1% Wyoming5.7% New Hampshire5.6% Alaska4.9%

From this data we can see that New York has the highest total tax burden. Residents in this state will pay, on average, 12% of their income to state and local governments.

Breaking this down into its three components, the average New Yorker pays 4.6% of their income on income taxes, 4.4% on property taxes, and 3% in sales & excise taxes.

At the other end of the spectrum, Alaska has the lowest tax burden of any state, equaling 4.9% of income. This

Charted: What Frustrates Americans About the Tax System

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7 seconds ago

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May 7, 2024 Graphics/Design:

See this visualization first on the Voronoi app.

What Frustrates Americans About the Tax System

This was originally posted on our Voronoi app. Download the app for free on Apple or Android and discover incredible data-driven charts from a variety of trusted sources.

In this visualization, we show Pew Research’s findings on what bothers Americans the most about the tax system.

This data was collected after surveying more than 5,000 American adults between the period of March 27-April 2, 2023.

The survey was weighted to be representative of the U.S. adult population. Visit Pew Research’s methodology page for more details.

Americans Want More Taxes for Some

Six in every 10 Americans feel that both corporations and the wealthy don’t pay their fair share in federal taxes.

Their sentiments are not entirely unfounded.

Very frustratedSomewhat frustratedNot much/
at all frustrated 🏦 Corporations
don’t pay a fair share61%22%15% 💼 Wealthy people
don’t pay a fair share60%22%17% 🤔 Complexity of
the tax system53%32%13% 💸 Amount of tax paid38%33%29% 🧑‍🤝‍🧑 Poor people don’t
pay a fair share13%21%64%
Note: No answer responses are not shown, thus percentages may not sum to 100.

A 2021 ProPublica investigation found some of the wealthiest Americans—also the wealthiest people in the world—did not pay a single penny in federal income taxes in some years.

A significant part of why this is possible is how taxes are collected depending on the source. Since much of the top 1% grow their wealth in equity and property, they are not subject to taxes until they make an actual transaction.

As this Brookings Institution article explains: most Americans make money through their wages, and wages are subject to heavier taxation than capital income. Thus, the tax share of America’s highest-income households is often lower than America’s middle-income households.

Finally, Pew Research noted that their findings were essentially unchanged since 2021.