Global Income, Profits and Capital Gains Tax Revenue Perceived by a Local Government Share by Country (Million US Dollars)

China leads the global income, profits, and capital gains tax revenue perceived by local governments, with a significant margin in 2023. Kazakhstan, the Philippines, and Mongolia follow. Over the last year, the Philippines and Ecuador showed notable growth in tax revenue, with 5.79% and 4.14% increases respectively. In contrast, Kazakhstan and Italy experienced declines of 0.21% and 4.28% respectively. The Compound Annual Growth Rate (CAGR) over five years indicates China's steady growth, accompanied by positive trends in smaller economies like Luxembourg and Mongolia.

Future trends to watch include:

• China's continued dominance in tax revenue, likely driven by economic growth and policy adjustments.
• The impact of geopolitical changes on local government revenues in developing countries.
• How digital tax frameworks might affect revenue shares in developed economies like Japan, Germany, and the United States.
• Potential regulatory changes in the EU impacting tax revenues in member countries.