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The Tax Foundation is the nation’s
leading independent tax policy
research organization. Since 1937,
our research, analysis, and experts
have informed smarter tax policy
at the federal, state, and local
levels. We are a 501(c)(3) nonprofit
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Designer, Dan Carvajal
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Corporate Tax Rates around the World,
In general, large industrialized nations tend to have higher statutory corporate
income tax rates than developing countries.
• The worldwide average statutory corporate income tax rate, measured across
176 jurisdictions, is 24.18 percent. When weighted by GDP, the average
statutory rate is 26.30 percent.
• Europe has the lowest regional average rate, at 20.27 percent (25.13 percent
when weighted by GDP). Conversely, Africa has the highest regional average
statutory rate, at 28.45 percent (28.15 percent weighted by GDP).
• The average top corporate rate among EU countries is 21.77 percent, 23.59
percent in OECD countries, and 27.65 percent in the G7.
• The worldwide average statutory corporate tax rate has consistently
decreased since 1980, with the largest decline occurring in the early 2000s.
• The average statutory corporate tax rate has declined in every region since
TAX FOUNDATION | 2
In 1980, corporate tax rates around the world averaged 40.38 percent, and 46.67 percent when
weighted by GDP.1 Since then countries have recognized the impact that high corporate tax rates
have on business investment decisions so that in 2019, the average is now 24.18 percent, and 26.30
when weighted by GDP, for 176 separate tax jurisdictions.2
Declines have been seen in every major region of the world including in the largest economies. The
2017 tax reform in the United States brought the statutory corporate inc