Taxes on goods and services continued to be the most important source of tax revenue in the region in 2021, bringing in around 50% of total tax revenue on average. Of this amount, revenue collected from the value added tax (VAT) represented 29.9% of total tax revenue. Revenue from taxes on income contributed 26.7% of total tax revenues, of which revenues from corporate income tax brought in 15.4% of total tax revenues and personal income tax raised 9.4%. The average share of social security contributions in total tax revenues in the region was 17.0% in 2021.
Environmentally related taxes collected revenue amounting to 1.0% of GDP on average in 2021 in the 25 countries of the region for which data are available. More than two-thirds of the revenue from environmental taxes was collected from taxes on energy, of which the most significant were excises on diesel and petrol which accounted for 0.7% of GDP on average.
Source: OECD
