Americas · USD
United States
Reviewed 2026-06-21
Top income tax
37%
Self-employed SS
Yes
VAT
0%
Capital gains
20%
Exit tax
Conditional
Nomad visa
No
50
/ 100
Tax efficiency38
Ease to enter63
Ease to exit41
Cost of living60
Internet67
English100
The United States taxes citizens and residents on worldwide income through a seven-bracket federal system topping out at 37%, with most states layering their own income tax on top and no national VAT (only state and local sales taxes). Self-employed solopreneurs owe the full 15.3% self-employment tax for Social Security and Medicare in addition to income tax. There is no dedicated digital nomad visa, and renouncing citizenship or surrendering a long-held green card can trigger a mark-to-market exit tax for higher net worth individuals.
Personal income tax
Income tax structureProgressive
Top income tax rate37%
Entry income tax rate10%
Top rate threshold$626,350
Taxation basisWorldwide
Local/state income taxYes
Social security
Self-employed social securityYes
Employee SS rate7.65%
Employer SS rate7.65%
Indirect & other taxes
VAT standard rate0%
Capital gains rate20%
Long-hold CGT exemptionYes
Wealth taxNo
Inheritance/gift taxYes
Inheritance top rate40%
Property taxNo
Exit & residency
Exit taxConditional
Exit tax triggerCovered expatriate on renouncing US citizenship or ending long-term green card residency: net worth of USD 2 million or more, or average annual net income tax above the inflation-indexed threshold (USD 206,000 for 2025); mark-to-market deemed sale of worldwide assets with a 2025 gain exclusion of USD 890,000
Exit tax residency lookback8 years
EU/EEA deferralNo
Days to trigger residency183 days
Corporate
Corporate income tax rate21%
WHT on dividends30%
CFC rulesYes
Incentives & special regimes
Special expat regimeNo
Immigration & setup
Digital nomad visaNo
Entrepreneur visaYes
Ease of setup4 / 5
Lifestyle
Cost of living index71
Internet speed290 Mbps
English proficiencyHigh
Civil liberties83
Sources
- Tax Foundation — 2025 Tax Brackets and Federal Income Tax Rates
- PwC Worldwide Tax Summaries — United States, Individual: Other taxes (FICA and self-employment tax)
- PwC Worldwide Tax Summaries — United States, Corporate: Other taxes (no federal VAT/sales tax)
- IRS — Instructions for Form 8854 (2025), expatriation tax thresholds
- PwC Worldwide Tax Summaries — United States, Individual: Residence (substantial presence test)
Informational only. Nothing here is tax, legal, or financial advice. Tax rules change often and vary by personal circumstance. Verify every figure against an official source and a qualified adviser before acting. Figures are re-expressed from public sources and cited per country.