Click to go back to country list
Corporate Tax Rate Survey 2006 13
30 Greece (2006 rate = 22%/29%) T h e 2 9 p e r c e n t r a t e a p p l i e s t o l i s t e d A . E . c o m p a n i e s ( c o r p o r a t i o n s ) , E . P . E . e n t i t i e s
(limited liability companies), domestic unlisted A.E. companies, banks and credit institutions operating as co-operatives, and branches of foreign entities. General
Partnerships (OE) and Limited Partnerships (EE) are considered legal entities in Greece and are subject to the corporate tax rate of 22 percent. The above rates will be 25 percent and 20 percent, respectively, for accounting years starting after January 1, 2007. A discount of 1.5 percent is given to companies that settle their corporate tax liabilities in full when they file their tax returns. A three percent surcharge applies to gross rental income, but the surcharge may not exceed the
primary corporate tax.
31 Honduras (2006 rate
The overall rate comprises a 25 percent corporate income tax rate and a temporary five percent solidarity surcharge that applies if the taxable income exceeds L.1,000,000. In addition, there is a net assets tax of one percent of the value of the assets of the company, less allowances for doubtful accounts and accumulated tax depreciation. Net assets tax is payable only to the extent that it exceeds the corporate income tax.
32 Hong Kong (2006 rate = 17.5%) Hong Kong SAR is a Special Administrative Region of the People’s Republic of China. The 17.5 percent rate (with effect from financial year 2003/04) applies to Hong Kong sourced profits that are derived from a business carried on in Hong Kong. Offshore profits, capital gains, dividends and most bank deposit interest
income are also exempt from tax. Profits derived from certain securities or types of business (e.g. qualifying debt instruments or profits derived from the business of reinsurance of offshore risks by a professional re-insurer) are either exempt from tax or subject to a concessionary rate of 8.75 percent (half the 17.5 percent standard rate).
33 Hungary (2006 rate = 16%) The corporate income tax rate is 16 percent in 2006. From January 1 2006,
twice the local business tax of up to 2 percent of turnover is deductible from the taxable income.
34 Iceland (2006 rate = 18%) The corporate income tax rate is 18 percent for limited liability companies and 26 percent for other legal entities, such as limited partnerships, associations, private non-profit institutions, trust funds, estates of deceased persons and bankrupt estates. Non-resident companies are subject to income tax on their income from Icelandic sources. Tax is imposed on their net income, after allowable deductions, at the same rate as that levied on resident companies. Interest derived by non-resident companies from Icelandic sources is not subject to income tax.
35 India (2006 rate = 33.66%)
For the fiscal year ending March 31 2006 the basic corporate tax rate for domestic companies was reduced to 30 percent, and the surcharge was increased to 10 percent. The effective tax rate for domestic companies is 33.66 percent (30 percent, plus surcharge of 10 percent of the tax, plus education cess of two percent on tax and surcharge). A minimum alternate tax
© 2006 KPMG International. KPMG International is a Swiss cooperative of which all KPMG firms are members. KPMG International provides no services to clients. Each member firm is a separate and independent legal entity and each describes itself as such. All rights reserved.