Sweden
| Category | Rank | Score |
|---|---|---|
| Overall Rank | 8 | 72.93 |
| Corporate Taxes | 9 | 70.94 |
| Individual Taxes | 18 | 63 |
| Consumption Taxes | 16 | 69.57 |
| Property Taxes | 8 | 73.66 |
| Crossborder Taxes | 14 | 80.64 |
Sweden ranks 8th overall on the 2021 International Tax Competitiveness Index, the same as in 2020.
Strengths
- Sweden provides for net operating losses to be carried forward indefinitely, allowing for corporations to be taxed on their average profitability.
- Sweden has a territorial tax system that exempts both foreign dividends and capital gains income from taxation without any country limitations.
- Sweden has a broad tax treaty network, with 81 countries.
Weaknesses
- Sweden's personal dividend tax rate and capital gains tax rate are both 30 percent, above the OECD average (24.1 percent for dividends and 19.1 percent for capital gains).
- Sweden has a top statutory personal income tax rate of 52.3 percent, which is above the OECD average (42.7 percent).
- Sweden has Controlled Foreign Corporation rules that apply to both passive and active income.
Learn more about the tax system in Sweden