GSL / International Taxation / Gibraltar

Gibraltar tax system: audit, reporting and optimization of taxation of Gibraltar companies and individuals: VAT, income tax and capital gains. Tax treaties of Gibraltar.

Service packages Legislation Tax System Audit Services

Taxes of Gibraltar

12,5%
Сorporate tax
No
Capital gains tax
No
VAT
0% (dividend), 0% (interest), 0% (royalty)
Withholding tax
No
Exchange control

info
Basic taxes (briefly)

Personal tax
15-41%
Corporate tax (in detail)
The rate for companies is 12,5%; utility companies and companies that abuse a dominant position are subject to taxation at 20%
Capital gains tax. Details
No
VAT. Details
No
Other taxes
Contributions to social funds
Government fee
GIP 75 annually
Stamp duty
GIP 10

Taxation of individuals

Gibraltar income tax is payable on Income from activities and sources in Gibraltar. Persons who are permanent Residents of Gibraltar also pay tax on certain types of income from foreign sources.

The tax is paid in the lower of the two, calculated under the two alternative methods:

The following rates apply to income after certain exemptions and deductions have been applied The following progressive rates apply: 15% on the first GBP 4 000, 18% on the For the next GBP 12 000, 40% for the excess. No tax is payable on income up to. GBP 11 450 no tax is payable.

On gross income (without benefits but with certain deductions) The following progressive rates apply:

  • for income up to GBP 25 000, 6% on the first GBP 10 000, 20% on the next GBP 7 000, 28% on the excess;
  • for income over GBP 25 000, tax is calculated at seven different progressive rates (ranging from 17-27%).

Income tax

Companies pay tax on income generated Gibraltar.

The income tax rate is 12,5%.

Companies that provide utilities, companies, Energy supply companies and companies abusing a dominant position in the market, pay a tax rate of 20%. Telecommunications companies can apply a 12,5% rate to profits not from telecommunications activities.

Capital gains and dividends are not taxed tax.

Tax on capital gains

No.

CFC rules

Control of a foreign company arises when ownership of 50% or more of the capital, voting rights or rights to distributions of profits foreign company. If the CFC pays income tax at a rate of less than 50% tax that would be payable on such profits in Gibraltar, and the use of the foreign company is intended to evade tax, the undistributed profits of the CFC must be taxed with the shareholder company in Gibraltar.

Withholding tax on income

No withholding tax is levied in Gibraltar (except Except for payments to contractors in the construction business).

VAT/sales tax on goods and services

No.

Social contributions

Social contributions are paid by employees at the rate of 10% on of the amount of remuneration but not less than 6,05 GBP and not more than 32,25 GBP per week.

Employers pay social contributions at the rate of 20% on the amount of remuneration, but not less than 18,15 GBP and not more than 40,15 GBP per week.

Property taxes

Taxes are paid on commercial property at Different rates depending on the type of property.

Stamp duty

Stamp duty is levied on real estate transactions, located in Gibraltar with shares in companies with such real estate. The fee is calculated at different rates depending on the market value property.

International tax treaties

Gibraltar has 19 Tax Information Exchange Agreements (TIEA) with the following jurisdictions:

19 TIEAs: Australia, Austria, Belgium, Denmark, Faroe Islands, Finland, France, Germany, Greece, Greenland, Iceland, Ireland, Netherlands, New Zealand, Norway, Portugal, Sweden, United Kingdom, United States.

Gibraltar has not yet signed the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI).

Currency controls

In general, there are no restrictions on foreign exchange transactions

There are no restrictions on currency transactions in general.

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