8.1.1. Other Taxes
The following table provides an overview of other taxes that may be imposed on a company doing business in the country.
| Tax Type | Rate(s) | Notes |
|---|---|---|
| Capital Duty | Nil | There is no capital duty in the British Virgin Islands. |
| Payroll Tax | 10% to 14% | Employers with 7 or less employees, annual payroll not exceeding USD 150,000, and annual revenue not exceeding USD 300,000 are subject to payroll tax at the rate of 10%, otherwise, the rate is 14%. 8% may be deducted from employees’ salary resulting in an employer contribution of 2% or 6%. |
| Social Security Employer Contribution | 4.50% | The employer contribution is equal to 4.5% of gross salary, including a 3.25% contribution for old age, disability, and survivors, 0.75% for sickness and maternity, and 0.5% for a work injury to the National Insurance Scheme. A maximum monthly basis cap of USD 3,916.66 applies (increased from USD 3,750, effective 1 January 2023). The employers are also required to make a contribution equal to 3.75% of gross salary to the National Health Insurance. A maximum monthly basis cap of USD 7,833 applies (increased from USD 7,500, effective 1 January 2023). |
| Social Security Employee Contribution | 4% | The employee contribution is equal to 4% of gross salary, including the same contributions as employers, except the work injury contribution to the National Insurance Scheme. A maximum monthly basis cap of USD 3,916.66 applies (increased from USD 3,750, effective 1 January 2023). The employees are also required to make a contribution equal to 3.75% of gross salary to the National Health Insurance. A maximum monthly basis cap of USD 7,833 applies (increased from USD 7,500, effective 1 January 2023). The total contribution is withheld and remitted by the employer. |
| Property Tax | 1.50% | Building tax is levied at 1.5% on the rental value of buildings. A land tax is levied at USD 50 for up to half an acre, 150 USD for over half an acre up to one acre, and USD 50 for each additional acre or part of an acre (rates reduced for property owners with BVI Belonger status). The property tax is due and payable on 1 September and extends to 30 November annually without accruing interest A 100% reduction of interest accrued on property tax for the tax year 2021 and prior years is provided and the period of relief of interest is extended from 1 March 2022 until 28 February 2023. However, the property owners must pay the outstanding principal or agree to a payment plan with the Commissioner of Inland Revenue within the relief period. |
| Transfer Tax | Nil | There is no transfer tax in the British Virgin Islands. |
| Stamp Duty | 12% | Stamp duty at the rate of 12% (reduced to 4% for a transferee with BVI Belonger status) is charged on property transactions. On other transactions, the stamp duty charged is minimum. |
| Customs Duty | Varies | Customs duties are levied on most of the goods imported at rates ranging from 0% to 25%. |