| Luxembourg | Canada | Difference in Canada | |
|---|---|---|---|
| Gross Income | 36,144.39 EUR / 30,000.00 GBP | 54,069.00 CAD / 30,000.00 GBP | - 0.00 GBP |
| Tax Due | 9,282.54 EUR / 7,704.55 GBP | 17,753.48 CAD / 9,850.46 GBP | + 2,145.91 GBP |
| Net Income | 26,861.85 EUR / 22,295.45 GBP | 36,315.52 CAD / 20,149.54 GBP | - 2,145.91 GBP |
| Overall Tax Rate | 25.7 % | 32.8 % | + 7.10 %. |
Figures based upon 1 EUR = 0.83000432 GBP.
Figures based upon 1 CAD = 0.55484658 GBP.
In Luxembourg, an income of 36,144.39 EUR / 30,000.00 GBP is more than the lowest average advertised salary of 24,000.00 EUR / 19,920.10 GBP and less than the country's average income of 55,000.00 EUR / 45,650.24 GBP.
In Canada, an income of 54,069.00 CAD / 30,000.00 GBP is more than the lowest average advertised salary of 29,660.00 CAD / 16,456.75 GBP and less than the country's average income of 56,000.00 CAD / 31,071.41 GBP.
Here are how much some common purchases cost in Luxembourg vs Canada:
| Luxembourg | Canada | Difference in Canada | |
|---|---|---|---|
| Water Bottle (1.5L) | 1.10 EUR / 0.91 GBP | 2.22 CAD / 1.23 GBP | + 0.32 GBP |
| Milk Bottle (1L) | 1.30 EUR / 1.08 GBP | 2.27 CAD / 1.26 GBP | + 0.18 GBP |
| Pint of Beer | 5.00 EUR / 4.15 GBP | 6.00 CAD / 3.33 GBP | - 0.82 GBP |
| Bread (500g) | 1.94 EUR / 1.61 GBP | 2.77 CAD / 1.54 GBP | - 0.07 GBP |
| Chicken Breasts (1kg) | 11.56 EUR / 9.59 GBP | 13.10 CAD / 7.27 GBP | - 2.32 GBP |
| Petrol UK Gallon | 5.45 EUR / 4.52 GBP | 5.64 CAD / 3.13 GBP | - 1.40 GBP |
| Volkswagen Golf or Equivalent | 21,545.00 EUR / 17,882.44 GBP | 25,000.00 CAD / 13,871.16 GBP | - 4,011.28 GBP |
| Broadband Internet Monthly | 48.77 EUR / 40.48 GBP | 73.69 CAD / 40.89 GBP | + 0.41 GBP |
| Rent One Bedroom Apt. In City (Monthly) | 1,409.62 EUR / 1,169.99 GBP | 1,218.19 CAD / 675.91 GBP | - 494.08 GBP |
| Purchase One Bedroom Apt. In City | 282,333.45 EUR / 234,337.98 GBP | 200,098.85 CAD / 111,024.16 GBP | - 123,313.82 GBP |
Part of Europe, Luxembourg covers an area of 2,590 square kilometers.
Luxembourg has a Gross Domestic Product (PPP) of 58.74 ($ Billion) from a population of 584,103.
A progressive tax system spread across 23 bands! - from 0% to 42%.
The average tax rate is 31.7% with a marginal rate of 54.2% for additional income.
Single employed people are put in the tax class '1' and receive 12,438 EUR as a zero rated tax band.
The lowest rate of tax is the first band at 8 percent
Before calculating tax, certain deductions can be applied.
All employees have a standard minimum tax deductible expense of 540 EUR for work-related expenses.
Luxembourg allow costs incurred travelling to and from work as a tax deductible expense - up to 2,574 EUR annually!
There is an additional employment fund surcharge added to the the total calculated tax amount. It is 7 percent for basic earners and 9 percent for higher earners (those earning over 165,600 EUR).
Tax bands are as follow:
Below 12438 EUR - 0%
Between 12438 EUR and 14508 EUR - 8%.
Between 14508 EUR and 16578 EUR - 9%.
Between 16578 EUR and 18648 EUR - 10%.
Between 18648 EUR and 20718 EUR - 11%.
Between 20718 EUR and 22788 EUR - 12%.
Between 22788 EUR and 24939 EUR - 14%.
Between 24939 EUR and 27090 EUR - 16%.
Between 27090 EUR and 29241 EUR - 18%.
Between 29241 EUR and 31392 EUR - 20%.
Between 31392 EUR and 33543 EUR - 22%.
Between 33543 EUR and 35694 EUR - 24%.
Between 35694 EUR and 37845 EUR - 26%.
Between 37845 EUR and 39996 EUR - 28%.
Between 39996 EUR and 42147 EUR - 30%.
Between 42147 EUR and 44298 EUR - 32%.
Between 44298 EUR and 46449 EUR - 34%.
Between 46449 EUR and 48600 EUR - 36%.
Between 48600 EUR and 50751 EUR - 38%.
Between 50751 EUR and 110403 EUR - 39%.
Between 110403 EUR and 165600 EUR - 40%.
Between 165600 EUR and 220788 EUR - 41%.
Above 220788 EUR - 42%.
Social contributions equate to (8% toward pension, 3.05% toward health) plus (1.4% of income toward welfare).
There is also an accident insurance set at 0.70% multiplied by the employers' accident history. For comparative purposes we will use the 0.70% base rate.
There is a minimum contribution level of 30,851.16 EUR. If the salary is below this, the social contributions are calculated at this level.
There is a maximum contribution level of 154,255.68 EUR. If the salary is above this, the social contributions are calcualted at this level.
Source: http://www.impotsdirects.public.lu/fr.html
Source: XE.com (Currency Conversion).
Source: SalaryExplorer.com (Averages from average salaries in major job categories).
Source: Numbeo.com (Cost of living).
Part of North America, Canada covers an area of 9,156,521 square kilometers.
Canada has a Gross Domestic Product (PPP) of 1,674.31 ($ Billion) from a population of 36,626,083.
Federal taxes are joined by provincial taxes in this 5 band progressive tax system - jointly ranging from 20.05% to 46.16% plus surcharges.
Federal taxes are as follow:
Below 53359 CAD - 15%
Between 53359 CAD and 106717 CAD - 20.5%.
Between 106717 CAD and 165430 CAD - 26%.
Between 165430 CAD and 235675 CAD - 29%.
Above 235675 CAD - 33%.
For Canada we are using the Ontario province for comparative purposes.
Ontario provincial taxes are as follow:
Below 51446 CAD - 5.05%
Between 51446 CAD and 102894 CAD - 9.15%.
Between 102894 CAD and 150000 CAD - 11.16%.
Between 150000 CAD and 220000 CAD - 12.16%.
Above 220000 CAD - 13.16%.
Ontario also has a surcharge where the provincial taxes exceed 5,554 CAD (20%) or 7,108 (56%).
Social security contributions are the Canada pension plan (CPP): 5.95% (Max 3,867.50 CAD) and employment insurance: 1.66% (Max 1,049.12 CAD).
The Basic Personal Amount (BPA) is a tax credit that reduces the federal tax bill. It is income-assessed and federally the maximum credited is 15,705 CAD.
From gross incomes over 173,205 CAD the BPA is reduced. The minimum BPA is 13,521 CAD.
The BPA tax credit applies at the lowest federal tax bracket of 15%.
Another Basic Personal Amount (BPA) is a provincial a tax credit that reduces the provincial tax bill. In Ontario the maximum credited is 12,399 CAD.
A tax credit is also applied of 15% of the amount contributioned to the Canada pension plan (CPP) and employment insurance (EI).
A tax credit is also applied of 5.05% of the amount contributioned to the Canada pension plan (CPP) and employment insurance (EI).
Source: http://www.cra-arc.gc.ca/tx/ndvdls/fq/txrts-eng.html
Source: XE.com (Currency Conversion).
Source: SalaryExplorer.com (Averages from average salaries in major job categories).
Source: Numbeo.com (Cost of living).
This calculator allows you to calculate income taxes and social contributions equivalent for Luxembourg and Canada and allow comparison between both. You can choose the preferred currency for the input amounts and displayed calculation. For example: If you choose GBP as your preferred currency, then the income entered will be converted to Luxembourg's and Canada's native currencies for the calculation so that correct income equivalent is used. The results will then be shown in the native currencies and GBP.
We have trawled through the quagmire of tax legislation for 16 of the World's major economies and created a comparable position as close to the UK's PAYE (Pay As You Earn) system for employed people.
We look at each country's taxation for employed people, as well as things like medical care which are part of social contributions for some countries or require mandatory purchase of health insurance.
Combining this information lets us calculate taxes for each of the 16 countries and then do not only a taxation comparison but also a comparison of buying power based upon commonly purchased items.
It is quick and easy to use and you can get a detailed result at the click/tap of a button!
Compare tax using these examples:
We currently support the following countries - by clicking on the links below you can just do an individual tax calculation for those countries - or scroll up and compare tax between two countries directly!
Source: https://www.impots.gouv.fr/portail/international
Source: http://www.citizensinformation.ie/en/money_and_tax/tax/income_tax/how_your_tax_is_calculated.html
Source: http://www1.agenziaentrate.gov.it/english/revenue_agency/index_revenue.htm
Source: http://www.impotsdirects.public.lu/fr.html
Source: http://www.agenciatributaria.es/AEAT.internet/en_gb/Inicio.shtml
Source: https://www.estv.admin.ch/estv/en/home.html.
Source: https://www.gov.uk/government/organisations/hm-revenue-customs.
Source: http://www.bundesfinanzministerium.de/Web/EN/Issues/Taxation/taxation.html.
Source: https://www.irs.gov/tax-professionals/tax-code-regulations-and-official-guidance.
Source: http://www.cra-arc.gc.ca/tx/ndvdls/fq/txrts-eng.html
Source: https://www.ato.gov.au.
Source: http://www.ird.govt.nz/how-to/taxrates-codes/rates/itaxsalaryandwage-incometaxrates.html.
Source: https://www.nta.go.jp/foreign_language/.
Source: http://www.chinatax.gov.cn/2013/n2925/.
* calculations are currently based on the 2024 tax rules, rates and allowances for comparable single individuals in each country.