Individual Tax Rates

The following are the national income tax rates for individuals in 1993. In addition to national income tax, individuals are liable for municipal income tax and church tax (see Section F.9, page 58).

            Taxable Income           Tax on Lower      Rate on
      Exceeding      Not Exceeding      Amount          Excess

         FIM             FIM              FIM              %

             0        40,000                0              0

        40,000        56,000               50              7

        56,000        70,000            1,170             17

        70,000        98,000            3,550             21

        98,000       154,000            9,430             27

       154,000       275,000           24,550             33

       275,000             -           64,480             39

An additional withholding tax on earned income applies from 1993 through 1995 (see Section F.5, page 53). The table below provides the rates for the additional amounts to be withheld for 1993.

          Taxable Income              Tax on Lower    Rate on
      Exceeding      Not Exceeding      Amount        Excess
         FIM             FIM             FIM             %

        100,000        150,000             0             2

        150,000        275,000         1,000             3

        275,000               -        4,750             4

If national income tax is applicable to non-residents, it is levied at a flat rate of 25% on capital income and 35% on earned income instead of at these progressive rates.

The content of this article is intended to provide a general information on the subject matter. It is therefore not a substitute for specialist advice.