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Updated January 2026 โ€ข Live Tax Calculator

๐Ÿ‡ฆ๐Ÿ‡นAustriavs๐Ÿ‡ฎ๐Ÿ‡ธIceland

Progressive
183 days residency required
Progressive
183 days residency required

Compare tax regimes side-by-side โ€ข Live calculation for 2026 โ€ข Find the best option for your income

Understanding the Comparison

This comparison shows side-by-side tax calculations for the same income level. The winner is determined by the lowest effective tax rate. All calculations are based on official 2026 tax rates and may vary based on individual circumstances.

Your Income Calculator
Enter your gross salary or freelance income for live tax comparison
โ‚ฌ
Calculated Annual Income
โ‚ฌ100,000
๐Ÿ‡ฆ๐Ÿ‡น
Austria
Progressive
๐Ÿ  183 days residency
52.2%
Effective Tax Rate
Annual income: โ‚ฌ100,000

Tax Breakdown

18.12%
Social Security
Capital Gains & Crypto27.5%
Dividends Tax27.5%
Min. Income (Non-Lucrative)โ‚ฌ1500/month
Official 2026 rates โ€ข Updated January
๐Ÿ‡ฎ๐Ÿ‡ธ
Iceland
Progressive
๐Ÿ  183 days residency
38.6%
Effective Tax Rate
Annual income: โ‚ฌ100,000

Tax Breakdown

6.35%
Social Security
Capital Gains & Crypto22%
Dividends Tax22%
Official 2026 rates โ€ข Updated January
๐Ÿ‡ฎ๐Ÿ‡ธ
๐Ÿ† Winner
Iceland
-13.6%
Tax Savings
38.6%
Winning Rate
Best Choice for Your Income Level

Key Tax Differences: Austria vs Iceland

๐Ÿ‡ฆ๐Ÿ‡นAustria

  • โ€ขTax Regime: Progressive regime
  • โ€ขResidency Requirement: Minimum 183 days per year
  • โ€ขCryptocurrency Taxation: 27.5%
  • โ€ขDividends Taxation: 27.5%
  • โ€ขSocial Contributions: 18.12% employee rate

๐Ÿ‡ฎ๐Ÿ‡ธIceland

  • โ€ขTax Regime: Progressive regime
  • โ€ขResidency Requirement: Minimum 183 days per year
  • โ€ขCryptocurrency Taxation: 22%
  • โ€ขDividends Taxation: 22%
  • โ€ขSocial Contributions: 6.35% employee rate

Who Should Choose Austria vs Iceland?

๐Ÿ‡ฆ๐Ÿ‡นChoose Austria

Austria with its Progressive regime and 52.2% effective tax rate is ideal for professionals seeking tax optimization. This jurisdiction offers competitive rates for various income types and provides clear residency pathways for international professionals.

๐Ÿ‡ฎ๐Ÿ‡ธChoose Iceland

Iceland with its Progressive regime and 38.6% effective tax rate is ideal for professionals seeking tax optimization. This jurisdiction offers competitive rates for various income types and provides clear residency pathways for international professionals.

Income Tax Brackets Comparison

Understanding the progressive tax structure in Austria versus Iceland helps you estimate your actual tax burden at different income levels. Both countries use bracket systems, but with different thresholds and rates.

๐Ÿ‡ฆ๐Ÿ‡นAustria Income Tax Brackets

Up to โ‚ฌ13,3080%
From โ‚ฌ21,61720%
From โ‚ฌ35,83630%
From โ‚ฌ69,16640%
From โ‚ฌ103,07248%
From โ‚ฌ1,000,00050%
From โ‚ฌ99,999,99955%

๐Ÿ‡ฎ๐Ÿ‡ธIceland Income Tax Brackets

Up to โ‚ฌ88,13431.45%
From โ‚ฌ247,70937.95%
From โ‚ฌ99,999,99946.25%

Additional Considerations for Tax Residency

  • โ€ขCost of living varies significantly between countries and should be factored into your net income calculations
  • โ€ขLanguage requirements and local business culture may impact your ability to work effectively
  • โ€ขHealthcare system quality and costs differ - some countries require private insurance for residents
  • โ€ขVisa and residency permit requirements vary - consult immigration lawyers for specific pathways
  • โ€ขDouble taxation treaties may affect your tax liability if you maintain ties to your home country

Important Disclaimer

Tax calculations are approximate and based on standard scenarios. Actual tax liability may differ based on deductions, exemptions, residency status, and other factors. This tool is for informational purposes only and should not replace professional tax advice. Always consult with a qualified tax advisor for personalized guidance.

Want to compare other countries? โ†’ Full comparison tool

Austria vs Iceland Tax Comparison 2026 | TaxRaven