Friendly Tax Regime
In a world increasingly seeking natural products, where organic, fair trade, and eco-labeled certifications fetch price premiums; Belize’s natural assets, development policies and pro-business investment climate have created an ideal destination for investors looking to differentiate based on quality. No other country has so empathically proclaimed this niche-oriented destiny. The Government of Belize (GOB), recognized by investors as supportive and predictable, is wholly committed to creating the conditions, policies and institutions to continue supporting the country’s niche oriented development model and preserving the country’s distinctiveness. In addition, Belize offers a business friendly tax regime with low corporate tax rates that enable keen profitability for your business venture as showcased below:
Business Tax
Businesses, companies, and self-employed persons earning in excess of BZ$75,000 per annum must pay business tax. The rate varies according to business classification, as demonstrated by the table below. Business tax is paid monthly to the Income Tax Department.
| Business Classification | Rate of Business Tax |
|---|---|
| Trade or Business | 1.75% |
| Professional Services | 6.0% |
| Commissions and Royalties | 5.0% & 15.0% |
| Rental Income | 3.0% |
| Radio, On-air TV, and Newspaper Revenue | 0.75% |
| Domestic Airline Revenue | 1.75% |
| Insurance Institutions General Revenue> | 1.75% |
| Telecommunications Revenue | 19.0% |
| Fuel/Lubricant Revenue | 0.75% |
| Casino and Gaming Revenue | 4.0% |
| Real Estate Business | 15.0% |
| Tour Operators & Travel Agents | 6.0% |
Income tax
Income Tax is payable at a rate of 25% on taxable income for all employed persons resident in Belize earning over BZ$26,000 (US$13,000) per annum; persons earning less than this are exempted from the tax. The basic allowance is BZ$25,600 (US$12,800). This is also known as the PAYE tax, and is only applicable to employees’ income, and not classified as a cost to be borne by the employer or business.
For further information, kindly contact the Income Tax Department:
Mahogany Street,
Belize City
Belize, Central America
Tel: +501-222-4776, +501-222-4956
Fax: +501-222-4029
Email: incometax@itx.gov.bz
Website: http://www.incometaxbelize.gov.bz/
For further information, kindly contact the Income Tax Department:
Mahogany Street,
Belize City
Belize, Central America
Tel: +501-222-4776, +501-222-4956
Fax: +501-222-4029
Email: incometax@itx.gov.bz
Website: http://www.incometaxbelize.gov.bz/
General Sales tax
The General Sales Tax (GST) is a consumer tax applied at a rate of 12.5% on goods and services in Belize; some basic goods and services however, are zero rated while others are exempt. The tax is imposed on the mark-up value of goods and services, and is payable monthly to the Department of GST. Only registered persons can charge GST on their supplies as output tax and claim credit on their purchases of supplies as input tax. If you are conducting a taxable activity and your annual turnover exceeds $75,000 (US$37,500), you will need to register for GST by applying to the Department of GST.
For further information, kindly contact the GST Department:
Charles Barlett Hyde Building
Mahogany Street Extension
Belize City
Belize, Central America
Tel: +501-222-5574 or +501-222-5579
Fax: +501-222-5513
Email: generalsalestax@gst.gov.bz
Website: www.gst.gov.bz
For further information, kindly contact the GST Department:
Charles Barlett Hyde Building
Mahogany Street Extension
Belize City
Belize, Central America
Tel: +501-222-5574 or +501-222-5579
Fax: +501-222-5513
Email: generalsalestax@gst.gov.bz
Website: www.gst.gov.bz
hotel tax
Businesses operating in the hotel industry are also required to levy an additional hotel tax of 9%. The tax is charged to the hotel guests, and paid monthly to the Belize Tourism Board (BTB).
For further information kindly contact the Belize Tourism Board:
P.O. Box 325
#64 Regent Street
Belize City
Belize, Central America
Tel: +501-227-2420 or +501-227-2417
Fax: +501-227-2423
Toll Free: 1-800-624-0686
Website: www.travelbelize.org
For further information kindly contact the Belize Tourism Board:
P.O. Box 325
#64 Regent Street
Belize City
Belize, Central America
Tel: +501-227-2420 or +501-227-2417
Fax: +501-227-2423
Toll Free: 1-800-624-0686
Website: www.travelbelize.org
environmental tax
Environmental Tax is charged on the C.I.F. (Cost, Insurance, and Freight) value of goods imported into Belize at a rate of 2%. Certain medicines and medicinal supplies for human use along with basic foodstuffs, such as rice, beans, potatoes, coffee, tea, butter and butter substitutes, cheese, margarine, cooking oil, shortening, lard and lard substitutes, milk (in powder form), condensed milk, baby formula, sardines, meat of swine salted or in brine, corned beef, and salt are exempt. Goods made available from funds provided through grant agreements with external donor agencies, or funds borrowed from external financial institutions by the Government of Belize, or through a Government guarantee are also exempt from paying this tax. The tax is payable at the time of importation and is the liability of the importer.
social security contributions
Social Security provides benefits for employed persons in cases of sickness, maternity, injury, or disability. These payments are to be filed and paid monthly to the Belize Social Security Board. Each employer must ensure that employees are in possession of a valid social security card prior to hiring.
The table below illustrates weekly contributions to the fund.
The table below illustrates weekly contributions to the fund.
|
Schedule of Contribution |
|||||||
|
Amount of Weekly Contribution |
Rates of Contribution |
||||||
|
Actual Weekly Earnings |
Weekly Insurable Earnings |
Employer |
Employed Person |
Total Contribution |
Employer |
Employee |
|
|
1 |
Under 70.00 |
55.00 |
3.57 |
0.83 |
4.40 |
6.50% |
1.50% |
|
2 |
70.00 to 109.99 |
90.00 |
5.85 |
1.35 |
7.20 |
6.50% |
1.50% |
|
3 |
110.00 to 139.99 |
130.00 |
8.45 |
1.95 |
10.40 |
6.50% |
1.50% |
|
4 |
140.00 to 179.99 |
160.00 |
9.65 |
3.15 |
12.80 |
6.03% |
1.97% |
|
5 |
180.00 to 219.99 |
200.00 |
11.25 |
4.75 |
16.00 |
5.63% |
2.38% |
|
6 |
220.00 to 259.99 |
240.00 |
12.85 |
6.35 |
19.20 |
5.35% |
2.65% |
|
7 |
260.00 to 299.99 |
280.00 |
14.45 |
7.95 |
22.40 |
5.16% |
2.84% |
|
8 |
300.00 and over |
320.00 |
16.05 |
9.55 |
25.60 |
5.02% |
2.98% |
|
9 |
** |
2.60 |
0.00 |
2.60 |
|||
|
Source: Belize Social Security Board. Applies to all persons 60 to 64 years who have received a retirement benefit and all persons 65 years and older. |
|||||||
For further information, kindly contact the Social Security Board:
P.O. Box 18
Bliss Parade
Belmopan
Cayo District
Belize, Central America
Tel: +501-822-2163 or +501-822-2471
Fax: +501-822-3331
Email: info@socialsecurity.org.bz
Website: www.socialsecurity.org.bz
P.O. Box 18
Bliss Parade
Belmopan
Cayo District
Belize, Central America
Tel: +501-822-2163 or +501-822-2471
Fax: +501-822-3331
Email: info@socialsecurity.org.bz
Website: www.socialsecurity.org.bz
land tax
This tax is collected by the Department of Lands, and is assessed at a rate of 1% of the unimproved value of the land. The table below details values for each district.
The table below details values for each district:
The table below details values for each district:
|
Declared Unimproved Values per Acre (by District) |
|||||
|
Categories |
Corozal & Orange Walk |
Cayo |
Belize |
Stann Creek |
Toledo |
|
Agricultural |
|||||
|
30 acres or less |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
|
31 to 300 Acres |
500.00 |
550.00 |
600.00 |
500.00 |
100.00 |
|
301 acres or more |
600.00 |
650.00 |
700.00 |
600.00 |
300.00 |
|
Non Agricultural |
|||||
|
Suburban |
1000.00 |
1000.00 |
1500.00 |
700.00 |
500.00 |
|
Beaches and Cayes |
10000.00 |
N/A |
10000.00 |
10000.00 |
5000.00 |
|
Village lots (1 acre or less) |
1000.00 |
1000.00 |
1000.00 |
1000.00 |
500.00 |
stamp duty/ transfer tax
Stamp duty, also called transfer tax, is payable on any transaction involving taxable land. Nationals and Foreign Investors alike are required to pay 5% of the value. If the assessed land value is below US$10,000, then the stamp duty is waived.
property tax
Property tax is levied and controlled by City Councils and Town Boards in each district. Within the City of Belmopan the rate of property tax is set at 2% of the assessed value; the Belize City Council utilizes the rate of 2.5% of the assessed value.
excise tax
The Excise Tax is collected on locally manufactured alcohol, beer, cigarettes and soft drinks.
import duty & Revenue replacement duty
The Belize Customs Tariff is modeled from the Harmonized Description and Coding System (HS). The rates are based on the Customs Value (Cost, Insurance, Freight – CIF).
Import Duties are levied at the point of importation, and is the liability of the importer. The Belize Customs & Excise Department is responsible for the collection of import duties. Rates range from 0 to 45% with the majority of commodities attracting a rate of 20%.
There are some items that attract a Revenue Replacement Duty (RRD) ranging from 5%- 40% based on the aggregate of the Customs Value and the Import Duties. For the complete list of commodities attracting RRD visit the Belize Customs & Excise Department’s website Visit site
Under the CARICOM agreement, all imported products entering Belize from a CARICOM member state are exempt from import duties. In order to receive an exemption, importers must produce a CARICOM Certificate of Origin to the Comptroller of Customs. Customs brokerage services are necessary when importing goods.
For further information regarding Import Duty, Revenue Replacement Duty and Excise Tax, kindly contact the Belize Customs and
Excise Department:
Customs House
Port Loyola,
P.O. Box 146,
Belize City, Belize, C.A
Telephone: +501-227-7092/93
Fax: +501-227-7091
E-mail: cusnet@btl.net
Import Duties are levied at the point of importation, and is the liability of the importer. The Belize Customs & Excise Department is responsible for the collection of import duties. Rates range from 0 to 45% with the majority of commodities attracting a rate of 20%.
There are some items that attract a Revenue Replacement Duty (RRD) ranging from 5%- 40% based on the aggregate of the Customs Value and the Import Duties. For the complete list of commodities attracting RRD visit the Belize Customs & Excise Department’s website Visit site
Under the CARICOM agreement, all imported products entering Belize from a CARICOM member state are exempt from import duties. In order to receive an exemption, importers must produce a CARICOM Certificate of Origin to the Comptroller of Customs. Customs brokerage services are necessary when importing goods.
For further information regarding Import Duty, Revenue Replacement Duty and Excise Tax, kindly contact the Belize Customs and
Excise Department:
Customs House
Port Loyola,
P.O. Box 146,
Belize City, Belize, C.A
Telephone: +501-227-7092/93
Fax: +501-227-7091
E-mail: cusnet@btl.net
