Tax authorities
Inspectie der Belastingen
Regentesselaan z/n, Curaçao
Tel: +5999 734 2652
Fax: +5999 736 7800
Email: info@curacao-gov.an
Website: www.belastingdienst.an
Tax rates at a glance
(As of August 10 2011)
| Corporate income tax rate |
34.5% |
| Capital gains tax rate |
34.5% |
| Branch tax rate |
34.5% |
Withholding tax |
|
| Dividends |
0% |
| Foreign national interest |
15% |
| Royalties from patents and licences |
0% |
| Branch remittance tax |
0% |
Net operating losses (years) |
|
| Carryback |
No |
| Carryforward |
10 years/5 years (for IBC companies) |
- Corporate income tax is imposed on a company's profits, which consist of business/trading income, passive income and capital gains. Normal business expenses may be deducted in computing taxable income. Dividends are not taxed if received from affiliated companies that qualify for the participation exemption. A participation exemption may apply to dividends and capital gains derived by a Netherlands Antilles holding company on the disposition of a substantial shareholding. To qualify for the exemption, the Netherlands Antilles company must hold a participation of at least 5% (or 5% of the voting shares) and the subsidiary must be either subject to a 10% tax or be an active business company. Subsidiaries that are not subject to tax abroad and that are regarded as passive companies are entitled to a 70% participation exemption only.
- Capital gains are included in profits and taxed at the normal corporate income tax rate. Under the participation exemption, capital gains derived from the disposal of a qualifying participation are fully exempt (see above).
- A Dividend Withholding Tax Ordinance, which provides for a 10% withholding tax on certain dividend distribution, has been introduced but not yet applied.
- A withholding tax on interest applies based on the EU savings and pensions interest and royalties directive.
Source: Taxand advisers from Taxand Curacao