Lithuania is flawed tax wise as there is a flat tax on income.
Denmark has a progressive tax system so in this regard it is more fair & promotes social mobility.
Capital gains taxes on property in Denmark are nonexistent if the owner of the property holds thy property as on occupied object for even 1 day loosely this means the ability to invest in property in the forms of development, taking advantage of appreciation are available. This also makes the market more liquid as there are less systematic based limitations that would prevent an owner from selling.
Now for the negative which are capital gains on equities in the form of stocks. We have the highest taxes on earth in Denmark with a 27% up to 60,000DKK & 42% over 60,000DKK marginal tax on realized gains & dividends with the ability to offset gains or receive a tax return on losses available. Now for ETF’s/Bonds you have a system in Denmark that taxes any gains at the end of the year at an assumed realization principle whether you actually sell to realize profits or do not the tax is due regarding! This also applies to an Aktiesparekonto (Stock Savings Account) which taxes again at the yearly assumed realized gain at a lower 17% rate up to a limited invested principle of 135,900DKK as of the year 2024. This amount is due to rise and has risen very regularly from year to year. However again this type of account can offer benefits to some investors it also has flaws such as not being able to qualify for a portfolio loan from a Scandinavian brokerage such as Nordnet. Learn more about a portfolio loan here:
Lower taxes on the lower-middle class encourages the upward mobility of attainment of higher levels of wealth.
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