• Sweden's news in English
 
app_header_v3

Europe 'catching up' to Sweden's tax levels

The Local · 25 Oct 2013, 12:04

Published: 25 Oct 2013 12:04 GMT+02:00

For the fourth year running, Sweden has the highest marginal tax rate, 56.6 percent, among OECD countries included in an annual survey carried out by tax consultancy KPMG.

At 55.56 percent, Denmark was close behind Sweden. Spain, the Netherlands, and Finland rounded out the top five.

Both Finland and Spain, as well as Slovenia, were the biggest movers in this year's report, which saw a total of nine countries raising taxes for high income earners, and four lowering them.

The consultancy found that the global financial crisis had an impact on tax rates in a number of countries.

"Many countries need to consolidate their public finances in the wake of the financial crisis and increasing taxes for high income earners is considered necessary," Tina Zetterlund, head of the tax department at KPMG in Sweden, said in a statement.

"Even if the increases often give limited revenue to the state coffers, they're seen as being politically necessary to gain acceptance for benefit reductions that hit low-income earners hard."

In the report, a marginal tax rate is defined as the tax high-earners pay on their last unit of income. In Sweden's case, that means high-earners pay 56.6 percent in tax on their last earned krona.

The KPMG data compares tax rates in over 100 countries, including the 33 industrialized countries of the OECD. Hungary pulled in the lowest spot of the OECD countries, with a highest marginal tax rate of just 16 percent.

Story continues below…

DON'T MISS: The paradox of Sweden's 'lower' taxes - explained

TT/The Local/og

Follow The Local on Twitter

Related links:

The Local (news@thelocal.se)

Your comments about this article

Today's headlines
Police shoot knife man in central Stockholm
Police technicians spent the rest of Saturday night combing the square for clues. Photo: TT

A knife-wielding man was shot by police officers in Stockholm’s Sergel Square on Saturday night after he attacked officers.

 Ibrahimovic 'will not go to Manchester United' - agent
Ibrahimovic is pondering his next move. Photo: TT

According to Mino Raiola, the agent of Swedish superstar footballer, Zlatan Ibrahimovic, his client will not be heading to Old Trafford to link up with Jose Mourinho, Manchester United's new manager.

More flight delays hit Swedish airport
For some flights, the problems have led to up to two hours of delays. Photo: TT

Travellers at Stockholm’s Arlanda airport were beset again with delays on Saturday afternoon after technical problems with flightplan management software.

Video
The top reactions to Swedish high heels handyman video
Andersson was in agony after a day of laying floors in high heels. Photo: Emil Andersson

What did The Local's readers think about this viral clip challenging sexist beauty ideals?

Transport authorities call for probe into tech glitch
SAS aircraft grounded at Arlanda airport last week. Photo: Johan Nilsson/TT

But officials say it was not sabotage that caused last week's network failure, which knocked out large parts of Swedish air traffic.

Why northern Swedes get the hots for sex toys
File photo of handcuffs. Photo: Gunnar Lundmark/SvD/TT

Where in Sweden do people buy the most sex toys? Kiruna in the far north, apparently.

Royal baptism day for Sweden's Prince Oscar
Prince Oscar with Archbishop Antje Jackelén. Photo: Jonas Ekströmer/TT

UPDATED: Royalty, dignitaries and other esteemed figures took to Stockholm's Royal Chapel for the ceremony.

Giant replica of Swedish 18th century ship up for sale
The Götheborg setting sail from Stockholm in 2008. Photo: Claudio Bresciani / TT

A replica of a doomed Swedish merchant vessel that sank in 1745 within sight of its home port of Gothenburg has been put up for sale.

Border checks
First migrants make it from Denmark to Sweden on foot
The Öresund bridge between Sweden and Denmark. Photo: Erland Vinberg/TT

Dozens of attempts have been made, but this is the first successful crossing since Sweden introduced ID and border checks.

Brexit
Poll: Swedes are worried about Brexit consequences
The possibility of Brexit has Swedes worried about the EU's future. Photo: Lars Pehrson/SvD/TT

Swedes are worried about what may happen both at home and abroad if Britain votes to leave the EU in June.

Sponsored Article
How to find student housing in Malmö: 5 tips
Gallery
The best, cutest and funniest snaps from Prince Oscar's christening
Sponsored Article
Can you afford to live in Stockholm? (Hint: yes)
Travel
Is this town the best place in Sweden?
Gallery
People-watching: May 25th
Blog updates

27 May

Editor’s blog, May 27th (The Local Sweden) »

"Hej readers, Would you spend a day doing manual labour in high heels? That’s what Swedish…" READ »

 

17 May

What about “att”? (The Swedish Teacher) »

"Hej! It often seems like the small words are the ones that cause the most confusion.…" READ »

 
 
 
Sponsored Article
'Sweden gives artists the space to follow their dreams'
Society
WATCH: Why Swedish handyman wore pink high heels for feminism
Sponsored Article
Stockholm makes it easier for refugees to meet startups
Sport
LIST: Top-ten ridiculous things Zlatan has compared himself to
Business & Money
Why Swedes don't want the euro
Fastighetsbyrån
Gallery
Property of the week: Vika, Falun
Sponsored Article
Food, fun, and reliable sun: Summer in Dubrovnik
National
Is this the most Swedish tattoo ever?
Sponsored Article
How Stockholm startups help new employees feel at home
Gallery
People-watching: May 20th-22nd
National
How to really annoy a Swede abroad
Sponsored Article
'Only soft power can defeat radicalism'
National
How this war veteran is warming hearts in Sweden
Sponsored Article
Why Stockholm attracts so many successful researchers
Gallery
People-watching: May 18th
National
How this Swede's viral ad totally nailed Stockholm's housing crisis
Gallery
Property of the week: Vasastaden, Gothenburg
Sponsored Article
'Sweden gives artists the space to follow their dreams'
Lifestyle
The best Swedish cities for dating
Sponsored Article
Retiring abroad: ensuring your health is covered
Gallery
People-watching: May 13th-15th
Sponsored Article
Can you afford to live in Stockholm? (Hint: yes)
Culture
BLOG: Eurovision as it happened
National
Why a 116-year-old Swede isn't the world's oldest woman
National
Youth unemployment falls in Sweden
Gallery
People-watching: May 11th
Gallery
People-watching: May 6th-8th
Politics
Why Sweden's Greens are in free fall
National
Can these cartoon Swedes help foreigners blend in?
3,350
jobs available
PSD Media
PSD Media is marketing company that offers innovative solutions for online retailers. We provide modern solutions that help increase traffic and raise conversion. Visit our site at:
psdmedia.se