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.
Worldwide (residence-based)
Last verified
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%From income year 2026 there are two bands, 11.5% and 27.5%, down from 12.5% and 28.5%.
- 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
A special regime for new arrivals
Individuals who are resident but not ordinarily domiciled can use the remittance basis. Foreign income is taxed only to the extent it is remitted to Barbados. Welcome Stamp holders are exempt from Barbados income tax altogether.
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.