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As the saying goes, there are two certainties in this world – death and taxes. We all pay taxes on a constant basis, funding government projects through a notable deduction from our salaries. However, do you really know the ins and outs of income tax and whether or not you’re paying the appropriate amount of tax? It is well worth carrying out a little research to see exactly how much tax you are paying and whether or not you’re being deducted the right amount from your salary.
This infographic by Ayers (www.ayers.com.au), a payroll and contractor management company based in Australia, takes an in-depth look at the highest paying tax rate countries around the world, the most notorious tax havens and financial secrecy jurisdictions, plus a spotlight on the USA as a case study of tax income differences between rich and poor.
It contains some very interesting facts and statistics about the subject of income tax around the world. For example, did you know that Belgium has the highest rate of income tax in the world, an astounding 42.8% of earnings? To put it in perspective, this figure is almost twice as large as the income tax rate in America.
Are You Paying Too Much Tax? Tax Rates around the World
The USA also ranks as one of the world’s top 10 tax havens, a status based on its financial secrecy and its global market share for offshore financial services. Statistics show that between $21 trillion and $32 trillion of private financial wealth is located, with little or no taxation, in secrecy jurisdictions across the world, with the U.S. having the largest global scale weight on the planet.
The differences in tax payments between America’s richest and poorest are startling. Almost 50 percent of individual income taxes derived from people with adjusted gross incomes exceeding $250,000, but they accounted for only 2.4 percent of taxes filed. By contrast, people earning less than $50,000 a year paid 6.2 per cent of total taxes and comprised of 63.4 per cent of tax returns filed.
The infographic aims to shed new light on the often touchy subject of income tax, helping you to see how America’s rate of income tax compares with that of other countries. It is highly informative in its revelations about the secrecy of some of the world’s tax jurisdictions, including the USA, as well as putting the spotlight on the stark differences in tax payments between the rich and the poor.
It is sure to be highly informative and useful for any adult living in the USA, in particular those with a less than total understanding of income tax. It is also bound to be interesting for any person with an interest in finance and taxation to read about the rates of taxation paid worldwide, and just how secretive some jurisdictions can be when it comes to paying tax.