Liechtenstein: Investing
The 2021 World Investment Report by UNCTAD does not provide any data about Liechtenstein and neither does the national government. The country has an attractive fiscal programme, simple incorporation laws and increasingly strict regulations in terms of banking matters. As such, Liechtenstein is a strong site for national and international businesses. Banking and financial services are the sectors that attract most of the FDI. However, this makes the country vulnerable to abuse such as money laundering. Main investors include EU countries and Switzerland.
Liechtenstein has a stable and predictable investment regime, with most sectors open to national and foreign investment. Liechtenstein’s investment conditions are identical in most key aspects to those in Switzerland, due to its integration into the Swiss economy. Furthermore, the country has a stable and open economy and has created more jobs than the country's domestic population (around 40,611 thousand jobs for a population of over 39,162 thousand). Liechtenstein's investment abroad (mainly in EU countries) outweigh heavily inflows to the country. However, there is little to no official information on Liechtenstein's external trade, the balance of payments, and international investment position, as the Swiss National Bank nor the Liechtenstein Office of Statistics release specific investment data on investment inflows to the country. In 2015, Liechtenstein signed an agreement with the European Union to allow automatic exchanges of financial account information, and in 2018 a similar agreement entered into force with Switzerland. Liechtenstein is not ranked in the latest Doing Business report published by the World Bank.
| Liechtenstein | United States | Germany |
|---|
| Foreign Direct Investment | 2019 | 2020 | 2021 |
|---|---|---|---|
| Number of Greenfield Investments* | 2.0 | 1.0 | 3.0 |
| Value of Greenfield Investments (million USD) | 18 | 13 | 32 |
Source: UNCTAD - Latest available data
Note: * Greenfield Investments are a form of Foreign Direct Investment where a parent company starts a new venture in a foreign country by constructing new operational facilities from the ground up.
| Income tax (single taxpayer) | Progressive rates from 0% to 8% |
| EUR 0 - 15,000 | 0 |
| EUR 15,000 - 20,000 | 1% |
| EUR 20,000- 40,000 | 3% |
| EUR 40,000- 70,000 | 4% |
| EUR 70,000- 100,000 | 5% |
| EUR 100,000- 130,000 | 6% |
| EUR 130,000 - 160,000 | 6.5% |
| EUR 160,000 - 200,000 | 7% |
| EUR 200,000 and above | 8% |
| Municipal tax | Communities levy a surcharge of between 150% and 250% on the national income tax due |
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Latest Update: October 2022
