Tax laws Saint Vincent and the Grenadines
Saint Vincent and the Grenadines operates a self-assessment taxation system, requiring individuals, corporations, and trusts to file annual income tax returns and determine their tax liabilities.
Key Components of the Tax System:
Income Tax:
- Personal Income Tax: Individuals are taxed at progressive rates ranging from 10% to 30%, with the highest rate applicable to income exceeding XCD 10,000.
- Corporate Income Tax: Corporations are subject to income tax, with rates and exemptions detailed in the Income Tax Act, Cap. 435.
Value Added Tax (VAT):
- Standard Rate: VAT is levied at a standard rate of 16% on goods and services. citeturn0search8
- Registration Threshold: Businesses with annual sales exceeding XCD 120,000 are required to register for VAT.
International Business Companies (IBCs):
- International companies registered under the International Business Companies Act are exempt from taxation, including personal income taxes, estate taxes, and corporate income taxes.
Double Taxation Relief:
- Saint Vincent and the Grenadines has entered into the Double Taxation Relief (CARICOM) Treaty to prevent double taxation on income earned within the Caribbean Community (CARICOM) member states.
Foreign Account Tax Compliance Act (FATCA):
- The country has signed an agreement with the United States to comply with FATCA regulations, aiming to prevent tax evasion by U.S. taxpayers holding accounts abroad.
For comprehensive and current information, it is advisable to consult the Inland Revenue Department of Saint Vincent and the Grenadines or a tax professional.
RELATED Blog
0 comments