Americas · Tax guide
Barbados
Barbados taxes company profits at up to 9%, one of the lowest rates in the Caribbean, and charges VAT at 17.5% once turnover passes Bds$200,000. Taxes are administered by the Barbados Revenue Authority (BRA).
At a glance
- Corporate income tax
- 9%
- VAT
- 17.5%
- VAT registration
- Bds$200,000
- Withholding on payments abroad
- 15%
Top rate; minimum tax for large groups
Standard rate
Annual turnover
Before treaty relief
Corporate income tax
Companies pay up to 9%, with lower rates on smaller profits. Large multinational groups pay a domestic minimum top-up tax under the OECD Pillar Two rules. Quarterly instalments are paid, and the annual return is due by 15 June.
VAT
VAT is 17.5%, with lower rates on hotel accommodation and some other services. Registration is required once annual turnover exceeds Bds$200,000. Returns are filed every two months through the TAMIS portal.
Payments abroad
Payments to non-residents carry 15% withholding unless a treaty lowers it. Barbados has an unusually large treaty network for the region.
Key dates
- Every two monthsVAT return
- QuarterlyIncome tax instalments
- 15 JuneAnnual income tax return
Figures and sources
4 figures- Corporate income tax rate9%Under professional review
- VAT rate17.5%Under professional review
- Annual turnover above which VAT registration is requiredBds$200,000Under professional review
- Withholding on payments to non-residents15%Under professional review
Indicative only. This assessment is a high-level overview of tax obligations in Barbados based on the information you provided and rules in force for 2026. It is not tax or legal advice. Consult a qualified tax adviser in Barbados (a Barbadian tax adviser) before making compliance decisions.