4 ms·

There's very few countries in the world with tax systems like that - even Estonia I believe has some tax free threshold, such that the first $x of your income i

There's very few countries in the world with tax systems like that - even Estonia I believe has some tax free threshold, such that the first $x of your income is not taxed (then a flat rate of 20%). Sure, if your income was massively above that threshold then a 20% cut is pre-tax income would be pretty close to a 20% cut in take-home income, but I'd think for most here on HN it wouldn't be anything like that much (though probably not as low as 10%).

yasinaydin 4y ago
As a resident in Estonia, I believe you're talking about the basic exemption of 6000 euros [0]. The rest is as you said. Also if you're married, this amount is combined between spouses. And for some things like 3rd pillar unemployment funds, tuition fees and donations, we get paid 20% back regardless of our income previous year. Some years I got around 500-1000 euros as a tax return, but when I checked this month (for 2022), it was 0, as I didn't have any of these exceptions last year. [0]: https://www.emta.ee/en/private-client/calculation-2022-basic-exemption https://www.emta.ee/en/private-client/calculation-2022-basic...