Tax is the amount charged by the national government on business, income or any beneficial effort. In fact, It is the paid amount for their life safety, quality and freedom from danger. Countries with lowest tax rates have unique policy for their nation growth. Taxation amount is used for national expenses to provide resources to public. These resources include local services, products, developments and entertainment. Private organizations cannot provide such things publically. Government had appointed administrators to provide that facilities to common people. It build the society level and provide them a platform to success. As taxation is the law enforced by the state, so if someone do not pay he will be punished or fined. Direct and Indirect tax are the two conditions imposed by the state. Taxes are commonly collected by state Agency for further implementations. Some countries have no tax systems for public as they have much wealth for people satisfaction.
Different Kinds of Taxes
- Income: Individual earned amount
- Property: Individual land or building
- Consumption: Sales things and products
- Corporate: Business income
- Payroll: Business amount before sharing with employees
- Capitation: Investments Received
- Estate Taxes: After death amount
Tax rate is the percentage of amount which is given to the state. Every country has different rules and regulations to follow by the natives. Some common rules are followed by different organizations to find out the countries with lowest tax rates. These figures are not perfect but shows the right rank for each country.
Top 10 Countries with lowest Tax Rates in the World
|Rank||Country Name||Tax (%)|
Q: Which country has the lowest tax rate in the world?
Timor Leste has the lowest taxes in the world as compared to other country. It’s a small country on a small island Timor in Asia. Countries with lowest tax rates creates more business and job opportunists. But taxes are essential for national development. When taxation amounts cannot fulfill requirements then nations go for debt. Wealthy nations have less taxes and poor nations have raised their taxes to the peaks which are disliked by the people who charged for that.