Although the term “tax haven” has taken on a lot of negative connotations of late, more and more people are trusting Belize to protect them from intrusive governments and to protect their assets.
A former British colony, Belize has a robust, democratic government with a strong commitment to privacy and the idea that people should be able to keep their hard-earned assets safe. By working with other leading tax havens such as Guernsey and Jersey, Belize has strong legislation in force to protect investors and residents.
Another reason why Belize is becoming a popular tax haven is that the government offers a very generous residency program (called QRP) which allows qualifying individuals age 45 and older and their families to live in Belize without having to pay income tax or customs duties on personal property (including vehicles).
Add the fact that Belize is the only country in the region where English is the official language, meaning you’ll never have to worry about translated documents, and it’s easy to see why Belize is a truly safe destination for your assets.
Income Tax in Belize
Belize does not charge any tax on income earned (including pension payments) outside of Belize. For residents of Belize, the first $14,500 of income generated domestically is also tax-exempt.
Residency is granted in two different ways:
- By being accepted into the QRP program; or
- By residing in Belize continuously for 183 or more days in one calendar year.
Non-citizens of Belize have equal rights to that of citizens to own, sell, and rent property. Property rights are strongly protected in Belizean courts, and there are no “squatter’s rights” in Belize.
Capital Gains Tax
There is no capital gains tax in Belize on any income derived inside Belize or outside of Belize.
The International Business Companies Act
The International Business Companies Act (IBC) allows individuals to open a Belizean International Business Corporation. Income and (non-real estate) assets can then be transferred to the Belizean corporation. Dividends generated by the Belizean corporation are not taxed. You do not need to be a resident to open an International Business Corporation.
Property in Belize is assessed between 1% and 1.5% of the undeveloped value of the land. This is to encourage foreign investment and development. In some urban areas, property taxes may be slightly higher but are still quite low.
Before making important financial decisions, it is always recommended that you speak to a tax professional.
Cerros Sands is a gated, master-planned community located in the Corozal District of Belize Developed by an American who lives on site with his family, Cerros Sands is the best place to buy property, live, and invest in Belize.