This article will focus on the comparative study of personal income tax (PIT) in Latin America, with an analysis of the evolution of the tax structure in the region and the revenue collected. It was found that a typical Latin American country collects much less PIT than the average for developed countries, with smaller maximum rates and larger exemption limits. It was also found that the tax rates for Latin American workers with incomes between 67% and 167% of the average wage in each country are well below the average for an OECD country. Regarding Brazil, the taxation of personal income in the country is as expected for a country in the region, with rates and exemption limits consistent with the revenue collected. We conclude that there is ample room for strengthening PIT in Latin America.
Latin America; Tax Revenues; Taxation; Tax Rates; Personal Income Tax
