Tax Rate Comparison · 2026

Austria vs Denmark: Tax Rates Compared

Compare Austria and Denmark on income tax, corporate tax, VAT, capital gains, and social security. Top income tax: 55% (Austria) vs 55.9% (Denmark). Includes take-home pay estimates, special regimes, and expat guidance for 2026.

Country A
Austria
Top income tax: 55%
Corporate: 23%
VAT: 20% · CGT: 27.5%
VS
Country B
Denmark
Top income tax: 55%
Corporate: 22%
VAT: 25% · CGT: 42%

Full Tax Rate Comparison

Tax TypeAustriaDenmarkLower Rate
Top Income Tax55%55.9%Austria
Bottom Income Tax0%12.1%Austria
Corporate Tax23%22%Denmark
VAT / GST20%25%Austria
Capital Gains Tax27.5%42%Austria
Social Security (Emp)18.1%8%Denmark
Dividend Tax27.5%42%Austria
Tax Treaties9077Austria

Take-Home Pay Estimate

Illustration — €100,000 gross annual income
Austria Take-Home
€46,130
Denmark Take-Home
€55,665
Annual Difference
+€9,535

Verdict

Overall Tax Burden
Austria has a lower overall tax burden
Austria scores lower on combined tax burden (40 vs 43). Top income tax: 55% vs 55.9% in Denmark. Corporate: 23% vs 22%. For high earners and entrepreneurs, Austria can offer meaningful tax savings.

Tax System: Territorial vs Worldwide

FactorAustriaDenmark
Territorial TaxationNoNo
Digital Nomad VisaNoNo
Wealth TaxNoNo
CFC RulesYesYes

Special Regimes Available

CountryRegimeRate / BenefitDuration
No major special regimes for these two countries

Frequently Asked Questions

Which country has lower taxes: Austria or Denmark?
Austria has a top income tax rate of 55% and corporate tax of 23%. Denmark has 55.9% and 22% respectively. On €100k gross, estimated take-home is €46,130 in Austria vs €55,665 in Denmark. Actual liability varies with deductions, residency rules, and individual circumstances.
Is Austria or Denmark better for expats and digital nomads?
Austria uses a worldwide tax system. Denmark uses a worldwide tax system. The best choice depends on income type, desired residency duration, and lifestyle preferences.
What is the corporate tax difference between Austria and Denmark?
The statutory corporate tax rate is 23% in Austria and 22% in Denmark. Effective rates can differ significantly due to deductions, loss carry-forwards, and R&D credits. Both countries may offer reduced rates or special regimes for SMEs or qualifying businesses.
Austria Full Tax Guide Denmark Full Tax Guide More Tax Comparisons Special Tax Regimes
Disclaimer: Rates shown are statutory rates for 2026. Effective rates vary with deductions and individual circumstances. Not tax advice.