Countries with the highest revenue taxes are Denmark and Sweden, at 59 and 56.6 percent, respectively. The European average revenue tax is 38.68 percent, while that in the Euro-zone is 45 percent.
Romania's income tax, also 16 percent, ranks fifth in terms of lowest taxes. However, Bulgaria and Cyprus have enforced the lowest profit taxes, at 10 percent, followed by Ireland, at 12.5 percent, and Latvia, at 15 percent. Top income taxes are in Denmark - 38.7 percent, Italy - 37.3 percent, and Malta - 35 percent.
Low taxes have impacted on Romanian state revenues, which recorded the lowest revenue from taxes in 2005, compared to other EU states. The ratio of tax revenues in its gross domestic product (GDP) was 28 percent.
Lithuania cashed in 28.9 percent of GDP from taxes, while Slovenia's ratio was 29.3 percent, and Latvia's was 34.2 percent. The highest tax revenues were recorded in Sweden, at 51.3 percent of GDP, and Denmark at 50.3 percent of GDP. The average ratio was 39.6 percent in the EU.
