Caribbean & Atlantic
Barbados: tax at a glance
Income tax up to 27.5%, cut for 2026, a sliding 1–5.5% corporate tax plus a 15% minimum tax on large groups, and a 17.5% VAT.
Ways to relocate to Barbados
The residency and citizenship routes that lead here, weighed against the tax picture above.
The taxes
- Personal income (top)
- 27.5%
- Corporate income
- 5.5%, on a sliding scale from 1% to 5.5%, plus a 15% Domestic Minimum Top-up Tax on MNE groups with EUR 750m+ revenue.
- Capital gains
- None. There is no capital gains tax.
- VAT
- 17.5%
- Dividends (WHT)
- 5%
- Interest (WHT)
- 15%
- Royalties (WHT)
- 15%
- Social security (employee)
- ~11.1%
- Social security (employer)
- ~12.75%
- Wealth tax
- None
- Inheritance / estate
- None
- Property tax
- Land tax, at roughly 0.1–1% of improved value.
- Other
- Non-domiciled residents are taxed on a remittance basis, and there is a Special Entry Permit for HNWIs.
How the system works
- Tax system
- Worldwide (residence-based)
- Foreign income
- Taxed (worldwide)
- Taxes by citizenship
- No
- Exit tax
- No
- CFC rules
- No
- CRS
- Participating
- Special regime
- A non-domiciled remittance basis, plus a Special Entry Permit.
The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.
Sources (1)
Frequently asked
What is the income tax rate in Barbados?
The top marginal personal income tax rate in Barbados is 27.5%. From income year 2026 there are two bands, 11.5% and 27.5%, down from 12.5% and 28.5%.
What is the corporate tax rate in Barbados?
The headline corporate income tax rate is 5.5%, on a sliding scale from 1% to 5.5%, plus a 15% Domestic Minimum Top-up Tax on MNE groups with EUR 750m+ revenue..
Does Barbados tax capital gains?
Capital gains for individuals: None. There is no capital gains tax..