Taxes

Companies and individuals residing in Dominica are subject to taxes on their income. Persons who retire in Dominica are exempted from taxes on income earned from a source outside of Dominica. However, the person should not have been resident in Dominica prior to the retirement.

Tax Rates:

• Corporation Tax - 30%
• Value added tax - 15% on all goods & services
• Environment levy - 1% or 1.5% (based on item)
• Alien land holding licence fee - 10% of value of property
• Customs service charge - 3%
• Excise tax motor vehicle - 28%

Land Purchase for Non-Citizens

Individuals or corporate bodies who are not citizens of one of the OECS member states and who are seeking to acquire land require a licence prior to the execution of the transaction depending on the amount of land to be purchased. A licence is required for over one (1) acre of land for residential use, and for over three (3) acres in case of business purposes.

Fee Structure for the purchase of private lands:

• 1% Assurance Fund (PURCHASER)
• 2.5% Judicial Fee (PURCHASER)
• 2.5% Vendor’s Fee (VENDOR)
• 3% Solicitors Fee (PURCHASER)
• 4% Stamp Duty (PURCHASER)
• VAT on Solicitors Fee (PURCHASER)
• If property is registered in deceased person’s name, an additional 2% + .50 Stamp Duty (VENDOR)
• If land is transferred to alien, an additional 10% (PURCHASER)
• Placement of Caveat 0.00 + VAT (PURCHASER)
• Withdrawal of Caveat 0.00 + VAT (VENDOR)