vs
Czech Republic vs Luxembourg Tax Comparison
Side-by-side comparison of tax rates and systems
Tax Rate Comparison
Rate Comparison
Top Income Tax
Czech Republic23%Lower
Luxembourg42%
Corporate Tax
Czech Republic21%Lower
Luxembourg23.9%
Capital Gains
Czech Republic15%Lower
Luxembourg21%
VAT / Sales Tax
Czech Republic21%
Luxembourg17%Lower
| Category | Czech Republic | Luxembourg |
|---|---|---|
| Tax System | Progressive | Progressive |
| Top Income Tax | 23% | 42% |
| Corporate Tax | 21% | 23.9% |
| Capital Gains | 15% | 21% |
| VAT / Sales Tax | 21% | 17% |
| Crypto Tax | Yes | Yes |
| Wealth Tax | No | No |
| Tax Treaties | 90 | 85 |
| Currency | CZK | EUR |
The bottom line: Czech Republic vs Luxembourg
Czech Republic has the lower headline rate on 3 of the four main taxes (income, corporate, capital gains and VAT), making it the lighter-taxed of the two on paper. Czech Republic runs a progressive tax system, while Luxembourg uses a progressive one. Czech Republic has the wider tax-treaty network (90 agreements), which can reduce withholding tax on cross-border income.
- Income tax: Czech Republic is lower (23% vs 42%)
- Corporate tax: Czech Republic is lower (21% vs 23.9%)
- Capital gains tax: Czech Republic is lower (15% vs 21%)
- VAT / sales tax: Luxembourg is lower (21% vs 17%)