Indians and Germans benefit most from UAE’s zero tax policy

Country's income tax policy has made it an attractive destination for professionals from all over the world

Indians, Germans, Italians and the Dutch benefit most from UAE’s zero income tax policy.

According to a study released on Monday, these countries have levied highest income taxes in the world.
Low-salaried Germans earning $25,000 take home $18,149 after paying $6,851 or 27.4 per cent in taxes – the highest in the world; while Indians take home $18,663 after paying $6,337 or 25.3 per cent in taxes. However, they retain 100 per cent of their personal income in the UAE which has zero income tax.
This was revealed in a research conducted by UHY International, the London-based association of accounting and consulting firms, in 19 countries.
Zero income tax policy has made the UAE an attractive destination for professionals from around the world.
However, Indian executives earning $200,000 pay $58,837 or 29.4 per cent in taxes.
Income in Western Europe remains the most heavily taxed in the world, UHY said.
Ireland, Japan, US and Russia have the lowest taxes on low-earning nationals while Russia, Egypt, Estonia and Brazil have least taxes on the high-salaried executives.

All 19 countries surveyed by UHY
Amount of tax and social security per country in US dollars (from highest tax to lowest tax)
Salary after tax                                    Salary after tax
(based on gross pay of $25,000)     (based on gross pay of $200,000) 
Germany $18,149 72.60%                  Italy $108,189 54.10%
Net pay India $18,663 74.70%             Netherlands $109,417 54.70%
After tax France $18,750 75.00%          Ireland $111,905 56.00%
Italy $18,800 75.20%                              Germany  $111,953 56.00%
Estonia $19,518 78.10%                         Israel $112,363 56.20%
Mexico $20,534 82.10%                           France $117,519 58.80%
UK $20,799 83.20%                                  UK $121,819 60.90%
Egypt $20,847 83.40%                              Spain $127,332 63.70%
Brazil $21,023 84.10%                               Canada $129,340 64.70%
Netherlands $21,087 84.30%                    Malaysia $137,128 68.60%
Malaysia $21,140 84.60%                           USA $139,709 69.90%
Israel $21,177 84.70%                                 India $141,163 70.60%
Canada $21,204 84.80%                             Japan $144,083 72.00%
Spain $21,328 85.30%                                  Mexico $146,377 73.20%
Russia $21,750 87.00%                                 Brazil $148,088 74.00%
USA $22,660 90.60%                                      Estonia $152,515 76.30%
Japan $22,704 90.80%                                  Egypt $160,847 80.40%
Ireland $23,937 95.70%                                  Russia $174,000 87.00%
Dubai $25,000 100.00%                                  Dubai $200,000 100%