3. Denmark

Highest Income Tax Rate: 55.4 Percent

Denmark’s income tax rate has come down from 62.3 percent in 2008 to 55.4 percent at present. But still the country has the world's third-highest income tax rate.  The taxable income account at $76,000 earned. The dividend income and capital gains are also taxed between 28 percent and 42 percent, while for some share types the tax rates rises up to 51.5 percent.

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2. Sweden

Highest Income Tax Rate: 56.6 Percent

Sweden with 56.6 percent of high personal tax rate is one of eight European nations to make the list of nations with the highest income tax rates in the world. Employees contribute 7 percent of their income in social security. All these taxes fund a generous social security system and unlike other nations Sweden spends more of its GDP on social services, according to the OECD. Swedes government offers education and subsidized healthcare and public transport, along with a pension benefits to its citizens.

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1. Aruba

Highest Income Tax Rate: 58.95 Percent

Aruba, a Dutch territory, is rank first in levying the highest amount of income tax rate at 58.95 percent and it’s the only country in the America to make the top 10 list. The tax rate in Aruba was kept high up at 60 percent before 2007. In Aruba married individuals have to pay a lower maximum rate of 55.85 percent, compared with single taxpayers at 58.95 percent.