United Kingdom
| Category | Rank | Score |
|---|---|---|
| Overall Rank | 22 | 61.81 |
| Corporate Taxes | 18 | 58.93 |
| Individual Taxes | 23 | 56.06 |
| Consumption Taxes | 22 | 64.27 |
| Property Taxes | 33 | 38.89 |
| Crossborder Taxes | 1 | 100 |
The United Kingdom ranks 22nd overall on the 2021 International Tax Competitiveness Index, the same as in 2020.
Strengths
- The corporate income tax rate is 19 percent, below the OECD average (22.9 percent).
- The UK has a territorial tax system exempting both foreign dividend and capital gains income without any country limitations.
- The UK tax treaty network with 130 countries is the broadest in the OECD.
Weaknesses
- The top personal income tax rate on dividends is 38.1 percent, well above the OECD average (24.1 percent).
- The real property tax burden is among the highest in the OECD.
- The VAT at a rate of 20 percent applies to less than half of the potential consumption tax base.
Learn more about the tax system in United Kingdom