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April 16, 2021

St Kitts and Nevis Tax System and Citizenship Benefits

St Kitts and Nevis Tax System is considered to be a Tax Heaven. This simply means that the country offers businesses and individuals little or no tax liability at all. Caribbean region offers some of the most popular tax havens in the world and St Kitts and Nevis is one of them. To make the system more clear and show the main benefits, Mann’s Solutions has prepared the answers to the most common questions.

St Kitts and Nevis Tax System Overview

Corporate Income Tax

There is a flat tax rate of 33% for corporate or branch income tax.

Taxation of Legal Entities

Most of the non-resident legal entities pay tax on profits, that have been received within the state. Resident legal entities, companies that are officially registered in St. Kitts and managed by local directors, have to pay tax on the income received all over the world. The corporate tax rate is – 35%, however, it involves certain benefits. 

 A tax on profit of non-corporate entrepreneurs is imposed on a profit of over $12,500 (XCD) from the supply of goods and over $2,000 (XCD) from rendering services. The tax rate is 4%.

St Kitts and Nevis Sales Tax

The VAT (Value Added Tax) consists of 3 rates. The Standard rate is 17%, the Reduced rate is 10% (this applies for restaurants and hotel accommodation) and the third one is Zero-Rate 0% (this applies to the products like sugar, milk, flour, bread, rice, and oats)

Capital Gains Tax

There are no taxes for capital gains. Capital Gains Tax is levied only if the asset is sold within 12 months and the tax rate is 20%. On the other hand, to have the right to work on St. Kitts and Nevis, you need to obtain a special permit which costs $1,500 (East Caribbean Dollars) per year. The employee will be taxed according to the annual income amount.

Inheritance, Wealth, Global Income

St Kitts and Nevis Tax System for individuals is most likely one of the best in the world. In this jurisdiction, inheritance, wealth, global income, and gifts are not taxable. For citizens and residents, the tax for interests, dividends, and royalties is also 0%. (Learn more about how to become St Kitts and Nevis Citizen here)

Property Tax

Real Estate Investment is one of the most popular citizenship acquisition options, however, there are certain additional taxes that apply. In general, the size of the property tax is determined by the market value of the property. Therefore, the rate ranges from 0.2% – 0.3%. The profit from leasing property is not taxed as well as there’s no capital gains tax on the sale of real estate. When Real Estate Property is transferred, stamp duty must be paid by the seller. The tax rate ranges from 2% – 18.5%.

St Kitts and Nevis Citizenship Program Overview

Being one of the most trusted and successful programs in the world, established in 1984 St. Kitts and Nevis Program offers fast-track routes to acquiring a second passport in 2-3 months. The passport of St. Kitts and Nevis grants visa-free access to over 156 countries, including the European Union countries and the United Kingdom. Program investment options start from $150,000.

Program benefits

Saint Kitts and Nevis Citizenship Program let obtain a second passport in just 2-3 months. Physical residence is not required, and the passport can be easily obtained remotely. The whole family including spouse, children, and parent can apply for citizenship and can transfer the citizenship to descendants. In addition to that, there’s a short investment period of 5 years, allowed dual citizenships and an attractive tax regime.

Investment options $150,000

  1. — Non-refundable donation to the government fund

• Contribution to the SGF (Sustainable Growth Fund) is non-refundable

• The donation amount may vary based on the number of dependents included in the main applicant’s application

• To qualify for citizenship as a single applicant, you will be required to make a government donation of $150,000

 

  1. $200,000 – $400,000 Real Estate Investment 

• Real Estate option should be approved by the government

• $200,000 – joint investment with another main applicant (each applicant pays $200,000, and $400,000 in total), minimum investment period 7 years

• $400 – real estate investment with minimum investment period – 5 years

 

LONDON BASED SOLUTIONS ADVISERS – St Kitts and Nevis Citizenship

Full Support with our Immigration Advisers & Property Consultants:

Property search based on your requirements (from residential properties to high-value luxury developments)

• Property virtual tours, 3-D tours and in-person tours available.

• Due diligence checks and additional property checks completed by our experts.

• Residency & Citizenship document preparation and submission.

• Full support from until you receive your second passport & residency.

 

Mann’s Solutions is an international immigration law firm with offices in London, Hong Kong, and Moscow and has expertise in offering UK Visas and Immigration by Investment services to high net worth individuals. Our immigration advisers are regulated by OISC and IMC (Investment Migration Council).

For further information or to discuss your personal circumstances in a private consultation with our immigration lawyers in London Office, please contact us at enquiries@manns-solutions.com or call +44 207 993 63 46.