Overview of General Turnover Taxes and Tax Rates - empcom.gov.in

2 VAT MONITOR MARCH/APRIL 2003 

Overview of General Turnover Taxes and Tax Rates 

Most countries apply a general turnover tax, i.e. a tax on 

essentially all goods and services supplied by manufacturers, 

traders and services providers, even though specific 

goods and services may be exempt from tax. The turnover 

tax applied by the majority of those countries is VAT, i.e. 

a tax collected at all stages of production and distribution, 

accumulation of the tax being prevented by allowing taxable 

persons to deduct the tax they incur on their inputs 

from the tax they collect on their outputs. Exports of goods 

and services are generally within the scope of VAT, 

although they are commonly zero rated. On the other hand, 

imports of goods and services are subject to tax to ensure 

the neutrality of the tax system. 

A minority of countries apply retail taxes, i.e. single-stage 

taxes on goods and services supplied at the retail stage to 

domestic final consumers. Imports of goods and services 

by final consumers may be within the scope of retail taxes 

but exports are generally outside the scope. 

The following is an overview of general turnover taxes, 

excluding taxes that apply to specific goods only, such as 

excise duties on, for example, tobacco products, alcohol, 

mineral oils etc., distinguishing between VAT (column 1) 

and retail taxes (column 2). Where taxes are levied under 

generally used names or abbreviations, those names or 

abbreviations are shown in the first two columns. Note 

that although “sales tax” commonly refers to a retail type 

of tax, it may, in specific countries (e.g. Belize), refer to a 

VAT. 

Columns 3, 4 and 5 show the standard, reduced and 

increased rates respectively, applicable on 1 January 2003. 

Fabiola Annacondia and Walter van der Corput 

© 2003 International Bureau of Fiscal Documentation 

The standard rate is the rate that generally applies, unless 

the legislation explicitly lays down that specific goods and 

services are subject to different (reduced or increased) 

rates. Where insufficient information is available to distinguish 

the standard rate from the reduced and increased 

rates, columns 3 and 4, or 3, 4 and 5 are merged into a single 

column showing the range of tax rates. 

Where column 3 (standard rate) is subdivided, for example 

for Canada and the United States, the (federal) rates in the 

first sub-column must be added to (provincial or state) 

rates in the second sub-column. 

Normally, the tax rates apply to a taxable amount exclusive 

of the tax. In this respect, Bolivia is an exception: the 

officially listed tax rate of 14.943% applies to the taxable 

amount inclusive of IVA, which corresponds to 13% 

(14.943/114.943) of the taxable amount exclusive of IVA. 

Compilation of this overview constitutes an enormous 

research effort that had to be completed in a relatively 

short period of time. It is based on information from various 

sources with different levels of dependability and 

accuracy. Although we realize its shortcomings, we feel 

that this first result is worth publishing for various reasons. 

It may not only provide you with a useful overview of the 

turnover taxes and tax rates around the world, but it may 

also induce you to send us your comments contributing 

towards an improved, updated overview that we intend to 

publish next year. We cordially invite you to send your 

comments to the International VAT Monitor mailbox 

(VATMonitor@ibfd.org).

MARCH/APRIL 2003 VAT MONITOR 3 

Country Type of tax Tax rates (%) 

1 2 3 4 5 6 

VAT Retail tax Standard Reduced Increased Zero-rated exports 

Afghanistan VAT 20 – – no1 Albania VAT 20 – – yes 

Algeria VAT 17 7 – yes 

American Samoa no turnover tax – – – – 

Angola IC 10 2 20, 30 yes 

Anguilla no turnover tax – – – – 

Antigua and Barbuda Consumption Tax 20, 30 50 no 

Argentina IVA 21 10.5 27 yes 

Armenia VAT 20 – – yes 

Aruba no turnover tax – – – – 

Australia GST 10 0 – yes 

Austria MwSt 20 10, 12 – yes 

– Jungholz and Mittelberg MwSt 16 10 – yes 

Azerbaijan VAT 18 – – yes 

Bahamas no turnover tax – – – – 

Bangladesh VAT 15 0 10-3502 yes 

Barbados VAT 15 0, 7.5 – yes 

Belarus VAT 20 10 – yes 

Belgium BTW/TVA 21 0, 6, 12 – yes 

Belize Sales Tax 8 – 12 yes 


Benin VAT 18 – – yes 

Bermuda no turnover tax – – – – 

Bhutan Sales Tax 5-50 no 

Bolivia IVA 14.9433 – – yes 

Bosnia-Herzegovina no turnover tax – – – – 

Botswana VAT 10 0 – yes 

Brazil State VAT (ICMS) 7, 12, 18 25 yes 

British Virgin Islands no turnover tax – – – – 

Brunei Darussalam no turnover tax – – – – 

Bulgaria VAT 20 – – yes 

Burkina Faso VAT 18 – – yes 

Burundi Transactions Tax 15 7 – no



1 2 3 4 5 6 


Cambodia VAT 10 – – yes 

Cameroon VAT 18.7 – – yes 

Federal Provincial 

tax tax 

Canada 4 

– Alberta GST 7 – – – yes 

– British Columbia GST + PST 7 7.5 – – yes 

– Manitoba GST + PST 7 7 – – yes 

– New Brunswick HST 7 8 – – yes 

– Newfoundl. and Labrador HST 7 8 – – yes 

– North West Territories GST 7 – – – yes 

– Nova Scotia HST 7 8 – – yes 

– Nunavut GST 7 – – – yes 

– Ontario GST + PST 7 8 – – yes 

– Prince Edward Island GST + PST 7 10 – – yes 

– Quebec GST + PST 7 7.5 – – yes 

– Saskatchewan GST + PST 7 6 – – yes 

– Yukon Territory GST 7 – – – yes 

Cape Verde IVA 15 – – yes 

Cayman Islands no turnover tax – – – – 

Central African Republic VAT 18 – – yes 

Chad VAT 18 – – yes 


Chile IVA 18 – – yes 

VAT 175 13 – yes 

Business Tax 8 3 206 – 

China 

Colombia VAT 16 2, 5, 7, 10 20, 40 yes 

Comoros Turnover Tax 0, 3, 5, 15 yes 

Congo (Brazzaville) VAT 18 8 – yes 

13 (goods) 

Congo (Democratic Republic) Turnover Tax 

0.25, 3 , 6 16, 30 no 

18 (services) 

Cook Islands Turnover Tax 10 1 – no 

Costa Rica IGV 13 5 – yes 

Croatia VAT 22 – – yes



1 2 3 4 5 6 


Cuba ISV 2.5, 5, 7.5, 10, 15, 20, 25 no 

Cyprus VAT 15 0, 5 – yes 

Czech Republic VAT 22 5 – yes 

Denmark MOMS 25 0, 57 – yes 

Dominica no turnover tax – – – – 

Dominican Republic ITBIS 12 – – yes 

East Timor UNTAET 5 – – no 

Ecuador IVA 12 – – yes 

Egypt VAT 10 5 20, 30 yes 

El Salvador ITBMPS 13 – – yes 

Estonia VAT 18 0, 5 – yes 

Ethiopia VAT 15 0 – yes 

Faroe Islands VAT 25 0 – yes 

Fiji VAT 12.5 – – yes 

Finland VAT 22 0, 8, 17 – yes 

France TVA 19.6 2.1, 5.5 – yes 

– Corsica TVA 19.6 0.9, 2.1, 8, 13 – yes 

– DOM (exc. F. Guyane) TVA 8.5 2.1 – yes 

2 (goods) 

1 – no 

French Polynesia VAT 

3 (services) 


Gabon VAT 18 10 – yes 

Gambia Sales Tax 10 – – no 

Georgia VAT 20 – – yes 

Germany MwSt 16 7 – yes 

Ghana VAT 12.5 0, 10 – yes 

Greece VAT 18 4, 8 – yes 

– Greek Departments 13 3, 6 – yes 

Grenada Consumption Tax 10 5, 8, 15 25 8 yes 

Guadeloupe and Martinique VAT 8.5 2.1 – yes 

Guam no turnover tax – – – – 

Guatemala IVA 12 – – yes 

Guinea VAT 18 – – yes



1 2 3 4 5 6 


Guinea-Bissau IGV 10 – – yes 

10, 30 (goods and services) 

Guyana Consumption Tax 

yes 

5-50 (other goods and services) 

Haiti VAT 10 – – no 

Honduras ISV 12 – 15 yes 

Hong Kong SAR no turnover tax – – – – 

Hungary VAT 25 0, 12 – yes 

Iceland VAT 24.5 0, 14 – yes 

CENVAT9 16 0-8 24 yes 

CST 410 0-4 10-2011 no 

Sales Tax 0-20 no 

India 

Services Tax 5 12 – – no 

VAT 10 5 15, 20, 25, 35 yes 

PPn BM 10, 15, 25, 35 yes 

Indonesia 

Iran no turnover tax – – – – 

Iraq no turnover tax – – – – 

Ireland VAT 21 0, 4.3, 13.5 – yes 

Israel VAT 17 – – yes 

Italy IVA 20 4, 10 – yes 

Ivory Coast VAT 20 – – yes 


Jamaica GCT 15 0 – yes 

Japan Shohizei Ho (CT) 513 – – yes 

Jordan Sales Tax 15 – 20 yes 

Kazakhstan VAT 16 – – yes 

Kenya VAT 16 0, 13 – yes 

Kiribati Copra Tax 0-10 – no 

2-15 (goods) 

– no 

Korea (DPRK) (North Korea) Turnover Tax 

2-4 (services) 

Korea (Rep.) (South Korea) VAT 10 – – yes 

Kyrgyzstan VAT 20 – – yes14 Laos Turnover Tax 3, 5, 10, 15 yes 

Latvia VAT 18 9 – yes



1 2 3 4 5 6 


Lesotho Sales Tax 10 5 20 no 

Lithuania VAT 18 5, 9 – yes 

Luxembourg TVA/MwSt 15 3, 6, 12 – yes 

Macau no turnover tax – – – – 

Madagascar VAT 20 – – yes 

Malawi no turnover tax – – – – 

Malaysia Sales Tax 10 5 20, 25 no 

Maldives no turnover tax – – – – 

Mali VAT 18 – – yes 

Malta VAT 15 5 – yes 

Marshall Islands Local Sales Tax 5 – 10 no 

Mauritania VAT 14 – – yes 

Mauritius VAT 15 – – yes 

Mexico IVA 15 1015 – yes 

Micronesia no turnover tax – – – – 

1, 2, 3, 5, 10 (goods) 

– Kosrae Sales Tax 

no 

5 (services) – – 

– Truk Sales Tax 10, 25 no 

– Yap Sales Tax 10 – – no 

Moldova VAT 20 0, 5, 8 – yes 

Mongolia VAT 15 – – yes 


Morocco VAT 20 7,10,14 – yes 

Mozambique IVA 17 – – yes 

5, 10, 20, 25 (goods) 30, 50, 75, 170, 

yes 

Myanmar VAT 

5, 8, 10, 15, 30 (services) 200 

Namibia VAT 15 0 – yes 

Nauru no turnover tax – – – – 

Nepal VAT 10 – – yes 

Netherlands BTW 19 6 – yes 

Netherlands Antilles: 

– Bonaire VAT 5 – – no 

– Curacao VAT 5 – – no



1 2 3 4 5 6 


– other islands VAT 3 – – no 

New Caledonia TGPS 4 (services) – – no 

New Zealand GST 12.5 0 – yes 

Nicaragua IGV 15 7, 10 – yes 

Niger VAT 18 10 24 no 

Nigeria VAT 5 – – no 

Niue no turnover tax – – – – 

Northern Mariana Islands no turnover tax – – – – 

Norway VAT 24 0, 12 – yes 

Oman Sales Tax 2, 3, 5 – no 

Pakistan Sales Tax 15 2 – yes 

Palau no turnover tax – – – – 

Palestine Autonomous Areas VAT 17 – – no 

Panama ITBM 5 – 10 yes 

Papua New Guinea VAT 10 – – yes 

Paraguay IVA 10 – – yes 

Peru IGV 16 + 2 – – yes 

Philippines TRA 10 0 – yes 

Poland VAT 22 0, 3, 7 – yes 

Portugal IVA 19 5, 12 – yes 

– Azores/Madeira IVA 13 4, 8 – yes 

Puerto Rico no turnover tax – – – – 


Romania VAT 19 – – yes 

VAT 20 10 – yes 

Sales Tax16 up to 5 – – 

Russia 

Sao Tome and Principe IC 6-10 – no 

Saudi Arabia no turnover tax – – – – 

Senegal VAT 18 – – yes 

Serbia and Montenegro 

(Yugoslavia) 

Sales Tax 20 0 – no 

Sierra Leone Sales Tax 20 – – no 

Singapore GST 4 0 – yes



1 2 3 4 5 6 


Slovak Republic VAT 20 14 – yes 

Slovenia VAT 20 8.5 – yes 

Somalia Sales Tax 10 5 – no 

Solomon Islands GTA 5,10,15 no 

South Africa VAT 14 0 – yes 

Spain IVA 16 4, 7 – yes 

– Canary Islands IGIC 4 0, 2 12 yes 

Sri Lanka GST 12.5 – – yes 

St. Kitts and Nevis no turnover tax – – – – 

St. Lucia Consumption Tax 5-40 yes 

St. Vincent no turnover tax – – – – 

Sudan Sales Tax 10 0 20 no 

10 (goods) 

0 25 no 

Suriname VAT 

8 (services) 

Swaziland Sales Tax 12 – 25 no 

Sweden VAT 25 0, 6, 12 – yes 

Switzerland MwSt-TVA-IVA 7.6 2.4, 3.6 – yes 

Syria Sales Tax 5-20 – no 

Tajikistan VAT 20 – – yes17 Taiwan VAT 5 – – yes 

Tanzania VAT 20 0 – yes 

Thailand VAT 718 – – yes 


Togo VAT 18 – – yes 

Tonga Sales Tax 5 – – no 

Trinidad/Tobago VAT 15 0 – yes 

Tunisia VAT 18 6-10 29 yes 

Turkey VAT 18 1, 8 – yes 

Turkmenistan VAT 20 – – yes 

Turks and Caicos Islands no turnover tax – – – – 

Tuvalu Sales Tax 5 0 – no 

Uganda VAT 17 0 – yes 

Ukraine VAT 20 – – yes



1 2 3 4 5 6 


United Kingdom VAT 17.5 0, 5 – yes 

United States of America: State tax Local tax 

– Alabama Sales Tax 4 1-4 – – – 

– Alaska Sales Tax – 1.5-6 – – – 

– Arizona Sales Tax 5.6 1-3 – – – 

– Arkansas Sales Tax 5.125 0.25-4.75 – – – 

– California Sales Tax 6 1.25-2.5 – – – 

– Colorado Sales Tax 2.9 1-4.5 – – – 

– Connecticut Sales Tax 6 – – – – 

– Delaware Sales Tax – – – – – 

– District of Columbia Sales Tax 5.75 – – – – 

– Florida Sales Tax 6 0.5-1 – – – 

– Georgia Sales Tax 4 1-3 – – – 

– Hawaii Sales Tax 4 – – – – 

– Idaho Sales Tax 5 0-2 – – – 

– Illinois Sales Tax 6.25 0.25-3 – – – 

– Indiana Sales Tax 6 – – – – 

– Iowa Sales Tax 5 0.5-1 – – – 

– Kansas Sales Tax 5.3 1-2.5 – – – 

– Kentucky Sales Tax 6 – – – – 


– Louisiana Sales Tax 4 2-5.5 – – – 

– Maine Sales Tax 5 – – – – 

– Maryland Sales Tax 5 – – – – 

– Massachusetts Sales Tax 5 – – – – 

– Michigan Sales Tax 6 – – – – 

– Minnesota Sales Tax 6.5 0-1 – – – 

– Mississippi Sales Tax 7 – – – – 

– Missouri Sales Tax 4.225 0.5-4 – – – 

– Montana Sales Tax – – – – – 

– Nebraska Sales Tax 5.5 0-1.5 – – – 

– Nevada Sales Tax 6.5 0-0.75 – – – 

– New Hampshire Sales Tax – – – – –



1 2 3 4 5 6 


– New Jersey Sales Tax 6 – – – – 

0.125- 

– New Mexico Sales Tax 5 

– – – 

2.25 

– New York Sales Tax 4 2.75-4.5 – – – 

– North Carolina Sales Tax 4.5 2-2.5 – – – 

– North Dakota Sales Tax 5 1-2.5 – – – 

– Ohio Sales Tax 5 0.25-2 – – – 

– Oklahoma Sales Tax 4.5 0.5-6 – – – 

– Oregon Sales Tax – – – – – 

– Pennsylvania Sales Tax 6 0-1 – – – 

– Rhode Island Sales Tax 7 – – – – 

– South Carolina Sales Tax 5 0-2 – – – 

– South Dakota Sales Tax 4 1-4 – – – 

– Tennessee Sales Tax 7 1.5-2.75 – – – 

– Texas Sales Tax 6.25 0.5-2 – – – 

– Utah Sales Tax 4.75 1-3 – – – 

– Vermont Sales Tax 5 – – – – 

– Virginia Sales Tax 3.5 1 – – – 

– Washington Sales Tax 6.5 0.5-2.4 – – – 

– West Virginia Sales Tax 6 – – – – 

– Wisconsin Sales Tax 5 0-0.6 – – – 


– Wyoming Sales Tax 4 0-2 – – – 

US Virgin Islands no turnover tax – – – – 

Uruguay IVA 23 14 – yes 

Uzbekistan VAT 20 15 – yes 

Vanuatu VAT 12.5 – – yes 

Venezuela IVA 16 8 26 yes 

Vietnam VAT 10 5 20 yes 

Wallis and Futuna no turnover tax – – – – 

Western Samoa VAGST 10 – – no 

Yemen Consumption Tax 0.5-2 15 no



1 2 3 4 5 6 


Zambia VAT 17.5 0 – yes 

Zimbabwe Sales Tax19 15 10 20 no 

1. Exports to CIS countries which impose VAT on imports from Azerbaijan. 

2. Supplementary tax on luxury goods and services. 

3. The officially listed tax rate of 14.943% applies to the taxable amount inclusive of IVA, which corresponds to 13% (14.943/114.943) of the taxable amount exclusive 

of IVA. 

4. In Canada, a Federal GST rate of 7% applies. In addition, several provinces also separately levy a provincial tax (PST) or merge the federal tax and the provincial 

tax into the HST. 

5. VAT is imposed on the supply of tangible goods and specified services. 

6. The rate of Business Tax relating to entertainment (admission to music halls, ballrooms, karaoke bars, music tea houses, billiard rooms, golf courses, bowling 

alleys and recreation rooms) varies from 5% to 20%. 

7. The first sale of artists products is subject to VAT at the standard rate of 25%, but only 20% of the taxable base is taken into account, therefore, the effective 

VAT rate is 5%. 

8. The 25% rate applies to the importation of goods. 

9. VAT is proposed to be introduced at state level from 1 April 2003 at a standard rate of 12.5%. 

10. CST rate applicable to sales to registered dealers is proposed to be reduced to 2% from a date to be determined. 

11. These rates apply to sales to unregistered dealers. 

12. The service tax rate is proposed to be increased to 8% from a date to be determined. 

13. Including 1% local tax. 

14. Exports to the CIS countries are not zero rated. 

15. The 10% rate applies in the frontier zones. See “Focus on Mexico”, pp. 102-108. 

16. To be abolished from 1 January 2004. 

17. Exports to the CIS countries are not zero rated. 

18. The VAT rate will be increased to 10% on 1 October 2003. 

19. VAT is expected to be introduced in 2003. VAT will replace the sales tax and will be charged at a standard rate of 15%. Specified luxury goods will be subject 

to a tax rate of 25% and certain goods and services will be zero rated or exempt. 

© 2003 International Bureau of Fiscal Documentation

Overview of General Turnover Taxes and Tax Rates - empcom.gov.in

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