Japan has the highest top personal income tax rate among the 38 OECD countries, 55.95% as of 2025, with Denmark (55.9%), France (55.37%) and Austria (55%) just behind. This ranks the statutory top marginal rate on wage income, counting national and local income taxes together but not social security contributions. It is a description of the law, not tax advice.
Illustration: the 20 OECD countries with the highest top statutory personal income tax rates in 2025, from Japan at 55.95% to Luxembourg at 45.78%.
| Rank | Country | Top marginal rate (%) | Top rate starts at (× average wage) | Top rate starts at (USD, PPP) | Region | Top-rate threshold | Year of data |
|---|---|---|---|---|---|---|---|
| 1 | Japan | 55.95 | 7.7× | 458,000 | Asia-Pacific | Over 5× | 2025 |
| 2 | Denmark | 55.9 | 1.2× | 110,000 | Europe | Under 2× | 2025 |
| 3 | France | 55.37 | 12.9× | 871,000 | Europe | Over 5× | 2025 |
| 4 | Austria | 55 | 17.4× | 1,506,000 | Europe | Over 5× | 2025 |
| 5 | Canada | 53.53 | 2.8× | 225,000 | North America | 2× to 5× | 2025 |
| 6 | Portugal | 53 | 11.6× | 531,000 | Europe | Over 5× | 2025 |
| 7 | Belgium | 52.74 | 1.0× | 90,000 | Europe | Under 2× | 2025 |
| 8 | Sweden | 52.41 | 1.2× | 77,000 | Europe | Under 2× | 2025 |
| 9 | Finland | 51.79 | 3.0× | 219,000 | Europe | 2× to 5× | 2025 |
| 10 | Israel | 50 | 3.4× | 204,000 | Middle East | 2× to 5× | 2025 |
| 10 | Slovenia | 50 | 3.6× | 193,000 | Europe | 2× to 5× | 2025 |
| 12 | Netherlands | 49.5 | 1.2× | 109,000 | Europe | Under 2× | 2025 |
| 12 | South Korea | 49.5 | 19.0× | 1,284,000 | Asia-Pacific | Over 5× | 2025 |
| 14 | Spain | 48.58 | 9.4× | 538,000 | Europe | Over 5× | 2025 |
| 15 | Ireland | 48 | 1.2× | 94,000 | Europe | Under 2× | 2025 |
| 16 | Germany | 47.48 | 4.4× | 416,000 | Europe | 2× to 5× | 2025 |
| 17 | Italy | 47.23 | 1.5× | 91,000 | Europe | Under 2× | 2025 |
| 18 | Australia | 47 | 1.7× | 138,000 | Asia-Pacific | Under 2× | 2025 |
| 19 | Iceland | 46.29 | 1.3× | 111,000 | Europe | Under 2× | 2025 |
| 20 | Luxembourg | 45.78 | 3.3× | 304,000 | Europe | 2× to 5× | 2025 |
No matching rows.
The rate is the OECD’s “top statutory personal income tax rate” for 2025, as of November 2026 the latest year published. It is the combined central and sub-central (state, provincial, municipal) rate on the last euro of wage income, including surtaxes, and it does not include employee social security contributions, so it is a statutory rate, not an effective one. The OECD covers its 38 member countries only, so countries outside it (such as China or India) are not ranked. The thresholds are the OECD’s earnings level at which the top rate starts, given as a multiple of the average wage; the dollar figure multiplies that by the OECD’s average wage in USD at purchasing-power parity, so it is approximate and not a tax-bracket figure in local currency. Where a country’s sub-central rates vary, the OECD uses the highest combined rate (Canada, for example, is Ontario’s). Tax Foundation’s 2026 figures for Europe differ in places (Denmark 60.5%, France 55.4%, Spain 54%) because they reflect 2026 law changes and other sources.[1][2][3]
Japan’s combined national and local top rate is 55.95% in 2025, the highest of the 38 OECD countries.[1] It starts at about 7.7 times the average wage, roughly $458,000 at purchasing-power parity.[1] Including employee social contributions, the OECD puts the rate at that income level at 56.19%.
Denmark’s top rate is 55.9% in 2025, and it applies from only 1.24 times the average wage, the lowest threshold of the top four.[1] Tax Foundation reports that a new top bracket for incomes above DKK 2.8 million lifts the 2026 rate to 60.5%.[3]
France’s 55.37% combines the national top rate with surtaxes and levies counted by the OECD.[1] It starts at about 12.9 times the average wage, around $871,000 at purchasing-power parity.[1]
Austria’s 55% rate applies only at very high incomes, about 17.4 times the average wage, more than $1.5 million at purchasing-power parity.[1] Tax Foundation says the bracket, once due to lapse, has been extended to 2030.[3]
Canada’s figure combines the federal rate with the highest provincial rate, 53.53% in 2025.[1] Rates differ by province, so most Canadians face a lower combined top rate. It starts at about 2.8 times the average wage.
Portugal’s 53% top rate starts at about 11.6 times the average wage.[1] Counting employee social contributions, the OECD’s combined rate at that income is 58.17%, among the highest in the data.
Belgium’s top rate of 52.74% is reached at just over the average wage (1.03 times), the lowest top-rate threshold in the top 20.[1] With employee social contributions the OECD’s combined rate there is 60.04%.
Sweden’s 52.41% combines national and municipal income tax and starts at about 1.15 times the average wage.[1] Employee social contributions add nothing at that level in the OECD’s calculation, so the combined rate is also 52.41%.
Finland’s 51.79% top rate begins at about 3 times the average wage, roughly $219,000 at purchasing-power parity.[1] Tax Foundation’s 2026 figure for Finland is lower, 45%, following a cut.[3]
Israel’s top rate is 50% in the OECD data, with the same figure once employee social contributions are counted.[1] It starts at about 3.4 times the average wage.
Slovenia’s top personal income tax rate is 50% and starts at about 3.6 times the average wage.[1] Employee social contributions are large there, so the OECD’s combined rate at that income is 61.3%, the highest of any country in the table.