LOCATIONS WITH THE HIGHEST TAXES AND COST OF LIVING

WEALTH POLICY INTERNATIONAL FOUNDATION

— 1 min read

The most expensive countries to live in usually have high costs for housing, food, transportation, healthcare, and general goods and services. These rankings often come from cost of living indexes such as Numbeo, Mercer, or The Economist Intelligence Unit.

In terms of tax burden or tax-to-GDP ratio (the percentage of a country's total economic output collected as taxes) some of the countries known for having the highest overall tax burdens include:

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1. Denmark

  • Tax-to-GDP ratio: Around 45-50%
  • Denmark has high income taxes and VAT but these funds go towards comprehensive welfare programs.

2. France

  • Tax-to-GDP ratio: Approximately 45-48%
  • France has high social security contributions and income taxes, along with VAT and corporate taxes.

3. Belgium

  • Tax-to-GDP ratio: Roughly 45-47%
  • High social security taxes and income taxes.

4. Sweden

  • Tax-to-GDP ratio: Around 44-48%
  • Known for high income and VAT taxes to fund social welfare.

5. Finland

  • Tax-to-GDP ratio: Around 43-46%
  • Similar to other Nordic countries, Finland has high personal and corporate taxes.

Italy, Austria and Germany are also noted for having high taxes

Taxes aside, the most expensive places to live include:

1. Switzerland

  • Known for very high prices in housing, dining, healthcare, and transportation.
  • Cities like Zurich and Geneva are especially pricey.

2. Norway

  • High cost of food, housing, and services.
  • Strong currency and high wages contribute to the high cost of living.

3. Singapore

  • Expensive housing and car ownership.
  • Food and healthcare can also be pricey, though some local foods are affordable.

4. Luxembourg

  • High housing costs and general goods.
  • Small country with a wealthy population.

5. Hong Kong

  • Very high real estate prices.
  • Food and transportation costly.

6. Denmark

  • Expensive groceries and housing.
  • High taxes contribute indirectly by increasing prices.

Expensive cities in otherwise more affordable locations include Japan (Tokyo), Australia (Sydney, Melbourne), United States (New York City, San Francisco) and United Kingdom (London).

Choose your global location carefully.

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