Which European Countries have the lowest Tax Rates in 2026?
Financial News Europe - Here is the ranking of European Countries with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation, that annually assesses the tax competitiveness of OECD countries. The ranking of European Countries with the lowest Tax Rates in 2026 index takes into account five categories: Corporate Taxes, Taxes on Individuals, Consumption Taxes, Property Taxes and International Taxation. This tax index shows not only which countries provide the best fiscal environment for investment, but also the best fiscal environment for starting and growing a business.
Top 25 European Countries with the lowest Tax Rates in 2026:
1 - Estonia
Estonia ranks No. 1 country in Europe and worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Estonia´s Corporate Tax Rank in 2026: 2nd in Europe and worldwide
Estonia´s Individual Tax Rank in 2026: 1st in Europe and worldwide
Estonia´s Consumption Tax Rank in 2026: 24th worldwide
Estonia´s Property Tax Rank in 2026: 1st in Europe and worldwide
Estonia´s Cross-Border Tax Rules in 2026: 7th worldwide
2 - Latvia
Latvia ranks 2nd country in Europe and worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Latvia´s Corporate Tax Rank in 2026: 1st in Europe and worldwide
Latvia´s Individual Tax Rank in 2026: 8th worldwide
Latvia´s Consumption Tax Rank in 2026: 22nd worldwide
Latvia´s Property Tax Rank in 2026: 4th worldwide
Latvia´s Cross-Border Tax Rules in 2026: 6th worldwide
3 - Switzerland
Switzerland ranks 3rd country in Europe and 4th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Switzerland´s Corporate Tax Rank in 2026: 7th worldwide
Switzerland´s Individual Tax Rank in 2026: 9th worldwide
Switzerland´s Consumption Tax Rank in 2026: 4th worldwide
Switzerland´s Property Tax Rank in 2026: 36th worldwide
Switzerland´s Cross-Border Tax Rules in 2026: 2nd in Europe and worldwide
4 - Lithuania
Lithuania ranks 4th country in Europe and 5th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Lithuania´s Corporate Tax Rank in 2026: 3rd worldwide
Lithuania´s Individual Tax Rank in 2026: 10th worldwide
Lithuania´s Consumption Tax Rank in 2026: 23rd worldwide
Lithuania´s Property Tax Rank in 2026: 6th worldwide
Lithuania´s Cross-Border Tax Rules in 2026: 16th worldwide
5 - Luxembourg
Luxembourg ranks 5th country in Europe and 6th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Luxembourg´s Corporate Tax Rank in 2026: 20th worldwide
Luxembourg´s Individual Tax Rank in 2026: 21st worldwide
Luxembourg´s Consumption Tax Rank in 2026: 7th worldwide
Luxembourg´s Property Tax Rank in 2026: 15th worldwide
Luxembourg´s Cross-Border Tax Rules in 2026: 5th worldwide
6 - Czech Republic
Czech Republic ranks 6th country in Europe and 7th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Czech Republic Corporate Tax Rank in 2026: 9th worldwide
Czech Republic Individual Tax Rank in 2026: 4th worldwide
Czech Republic Consumption Tax Rank in 2026: 32nd worldwide
Czech Republic Property Tax Rank in 2026: 5th worldwide
Czech Republic Cross-Border Tax Rules in 2026: 11th worldwide
7 - Turkey - Türkiye
Türkiye ranks 7th country in Europe and 9th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Türkiye Corporate Tax Rank in 2026: 21st worldwide
Türkiye Individual Tax Rank in 2026: 6th worldwide
Türkiye Consumption Tax Rank in 2026: 15th worldwide
Türkiye Property Tax Rank in 2026: 22nd worldwide
Türkiye Cross-Border Tax Rules in 2026: 8th worldwide
8 - Hungary
Hungary ranks 8th country in Europe and 10th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Hungary Corporate Tax Rank in 2026: 5th worldwide
Hungary Individual Tax Rank in 2026: 3rd worldwide
Hungary Consumption Tax Rank in 2026: 38th worldwide
Hungary Property Tax Rank in 2026: 23rd worldwide
Hungary Cross-Border Tax Rules in 2026: 4th worldwide
9 - Slovakia - Slovak Republic
Slovak Republic ranks 9th country in Europe and 12th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Slovak Republic Corporate Tax Rank in 2026: 24th worldwide
Slovak Republic Individual Tax Rank in 2026: 2nd worldwide
Slovak Republic Consumption Tax Rank in 2026: 33th worldwide
Slovak Republic Property Tax Rank in 2026: 7th worldwide
Slovak Republic Cross-Border Tax Rules in 2026: 17th worldwide
10 - Sweden
Sweden ranks 10th country in Europe and 13th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Sweden Corporate Tax Rank in 2026: 6th worldwide
Sweden Individual Tax Rank in 2026: 18th worldwide
Sweden Consumption Tax Rank in 2026: 26th worldwide
Sweden Property Tax Rank in 2026: 9th worldwide
Sweden Cross-Border Tax Rules in 2026: 12th worldwide
11 - Netherlands
Netherlands ranks 11th country in Europe and 16th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Netherlands Corporate Tax Rank in 2026: 23rd worldwide
Netherlands Individual Tax Rank in 2026: 30th worldwide
Netherlands Consumption Tax Rank in 2026: 14th worldwide
Netherlands Property Tax Rank in 2026: 20th worldwide
Netherlands Cross-Border Tax Rules in 2026: 3rd worldwide
12 - Austria
Austria ranks 12th country in Europe and 18th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Austria Corporate Tax Rank in 2026: 18th worldwide
Austria Individual Tax Rank in 2026: 27th worldwide
Austria Consumption Tax Rank in 2026: 17th worldwide
Austria Property Tax Rank in 2026: 17th worldwide
Austria Cross-Border Tax Rules in 2026: 10th worldwide
13 - Germany
Germany ranks 13th country in Europe and 19th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Germany Corporate Tax Rank in 2026: 30th worldwide
Germany Individual Tax Rank in 2026: 34th worldwide
Germany Consumption Tax Rank in 2026: 13th worldwide
Germany Property Tax Rank in 2026: 12th worldwide
Germany Cross-Border Tax Rules in 2026: 9th worldwide
14 - Norway
Norway ranks 14th country in Europe and 20th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Norway Corporate Tax Rank in 2026: 15th worldwide
Norway Individual Tax Rank in 2026: 29th worldwide
Norway Consumption Tax Rank in 2026: 27th worldwide
Norway Property Tax Rank in 2026: 16th worldwide
Norway Cross-Border Tax Rules in 2026: 15th worldwide
15 - Finland
Finland ranks 15th country in Europe and 20th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Finland Corporate Tax Rank in 2026: 10th worldwide
Finland Individual Tax Rank in 2026: 24th worldwide
Finland Consumption Tax Rank in 2026: 28th worldwide
Finland Property Tax Rank in 2026: 21st worldwide
Finland Cross-Border Tax Rules in 2026: 24th worldwide
16 - Greece
Greece ranks 16th country in Europe and 23rd country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Greece Corporate Tax Rank in 2026: 22nd worldwide
Greece Individual Tax Rank in 2026: 5th worldwide
Greece Consumption Tax Rank in 2026: 29th worldwide
Greece Property Tax Rank in 2026: 30th worldwide
Greece Cross-Border Tax Rules in 2026: 19th worldwide
17 - Slovenia
Slovenia ranks 17th country in Europe and 25th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Slovenia Corporate Tax Rank in 2026: 14th worldwide
Slovenia Individual Tax Rank in 2026: 12th worldwide
Slovenia Consumption Tax Rank in 2026: 30th worldwide
Slovenia Property Tax Rank in 2026: 24th worldwide
Slovenia Cross-Border Tax Rules in 2026: 30th worldwide
18 - Belgium
Belgium ranks 18th country in Europe and 27th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Belgium Corporate Tax Rank in 2026: 16th worldwide
Belgium Individual Tax Rank in 2026: 15th worldwide
Belgium Consumption Tax Rank in 2026: 25th worldwide
Belgium Property Tax Rank in 2026: 28th worldwide
Belgium Cross-Border Tax Rules in 2026: 21th worldwide
19 - Ireland
Ireland ranks 19th country in Europe and 29th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Ireland Corporate Tax Rank in 2026: 4th worldwide
Ireland Individual Tax Rank in 2026: 36th worldwide
Ireland Consumption Tax Rank in 2026: 35th worldwide
Ireland Property Tax Rank in 2026: 18th worldwide
Ireland Cross-Border Tax Rules in 2026: 27th worldwide
20 - United Kingdom
United Kingdom ranks 20th country in Europe and 30th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
United Kingdom Corporate Tax Rank in 2026: 25th worldwide
United Kingdom Individual Tax Rank in 2026: 22nd worldwide
United Kingdom Consumption Tax Rank in 2026: 34th worldwide
United Kingdom Property Tax Rank in 2026: 33th worldwide
United Kingdom Cross-Border Tax Rules in 2026: 1st worldwide
21 - Denmark
Denmark ranks 21st country in Europe and 31st country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Denmark Corporate Tax Rank in 2026: 19th worldwide
Denmark Individual Tax Rank in 2026: 37th worldwide
Denmark Consumption Tax Rank in 2026: 20th worldwide
Denmark Property Tax Rank in 2026: 14th worldwide
Denmark Cross-Border Tax Rules in 2026: 32nd worldwide
22 - Poland
Poland ranks 22nd country in Europe and 32nd country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Poland Corporate Tax Rank in 2026: 12th worldwide
Poland Individual Tax Rank in 2026: 11th worldwide
Poland Consumption Tax Rank in 2026: 36th worldwide
Poland Property Tax Rank in 2026: 29th worldwide
Poland Cross-Border Tax Rules in 2026: 25th worldwide
23 - Portugal
Portugal ranks 23rd country in Europe and 33rd country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Portugal Corporate Tax Rank in 2026: 34th worldwide
Portugal Individual Tax Rank in 2026: 19th worldwide
Portugal Consumption Tax Rank in 2026: 21st worldwide
Portugal Property Tax Rank in 2026: 19th worldwide
Portugal Cross-Border Tax Rules in 2026: 33rd worldwide
24 - Iceland
Iceland ranks 24th country in Europe and 34rd country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Iceland Corporate Tax Rank in 2026: 13th worldwide
Iceland Individual Tax Rank in 2026: 32nd worldwide
Iceland Consumption Tax Rank in 2026: 19th worldwide
Iceland Property Tax Rank in 2026: 34th worldwide
Iceland Cross-Border Tax Rules in 2026: 26th worldwide
25 - Spain
Spain ranks 25th country in Europe and 35th country worldwide with the lowest Tax Rates in 2026, according to the International Tax Competitiveness Index 2026 by Tax Foundation.
Spain Corporate Tax Rank in 2026: 33th worldwide
Spain Individual Tax Rank in 2026: 20th worldwide
Spain Consumption Tax Rank in 2026: 18th worldwide
Spain Property Tax Rank in 2026: 35th worldwide
Spain Cross-Border Tax Rules in 2026: 20th worldwide
