Tax on property income in St. Lucia
Effective Tax Rate on Rental Income |
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Monthly Income | US$1,500 | US$6,000 | US$12,000 |
Tax Rate | 10.84% | 17.79% | 18.94% |
Click here to see a worked example | |||
Source: Disclaimer |
INDIVIDUAL TAXATION
Nonresidents are taxed on their income from St. Lucia. Married couples are assessed and taxed separately.
INCOME TAX
Income is taxed at progressive rates.
INCOME TAX |
|
TAXABLE INCOME, ECD (US$) | MARGINAL TAX RATE |
Up to 10,000 (US$3,704) | 10% |
10,000 - 20,000 (US$7,407) | 15% on band over US$3,704 |
20,000 - 30,000 (US$11,111) | 20% on band over US$7,407 |
Over 30,000 (US$11,111) | 30% on all income over US$11,111 |
* Exchange Rate as of 15 June 2006: 1€ = YTL2.01. Source: Global Property Guide |
RENTAL INCOME
Rental income is taxed at progressive rates. When computing for the taxable rental income, expenses relating to the property can be set against income, including interest payments.
Stamp Duty on Property Leases
Lease agreements are subject to stamp duty at progressive rates. Different rates apply on leases for less than twenty years and on leases for over twenty years.
STAMP DUTY ON LEASES FOR LESS THAN 20 YEARS |
|
ANNUAL RENT, ECD (US$) | TAX RATE |
Up to 3,000 (US$1,111) | 2% |
3,000 - 6,000 (US$2,222) | 4% |
6,000 - 12,000 (US$4,444) | 6% |
Over 12,000 (US$4,444) | 8% |
STAMP DUTY ON LEASES FOR OVER 20 YEARS |
|
ANNUAL RENT, ECD (US$) | TAX RATE |
Up to 3,000 (US$1,111) | 4% |
3,000 - 6,000 (US$2,222) | 6% |
6,000 - 12,000 (US$4,444) | 8% |
Over 12,000 (US$4,444) | 10% |
CAPITAL GAINS
Capital gains are not taxed in St. Lucia.
Stamp Duty on Property Transfers
Sales of properties are subject to 0.25% stamp duty. The duty is levied on the market value of the property at the time of sale or the selling price.
Real Property Transfer Tax
Foreigners who transfer real property are subject to a flat rate of 10% transfer tax.
PROPERTY TAX
Land and House Tax
Property owners are liable to pay land tax on their property. The tax base is the assessed rental value of the property, as determined by the Inland Revenue Department.
LAND TAX |
|
SIZE OF THE PROPERTY | LAND TAX FEE |
Up to 10 acres | 0% |
10 acres - 50 acres | ECD0.25 (US$0.09) per acre |
50 acres - 100 acres | ECD0.50 (US$0.19) per acre |
100 acres - 500 acres | ECD0.75 (US$0.28) per acre |
Over 500 acres | ECD1.00 (US%0.37) per acre |
House Tax
Residential property owners are required to pay property tax at 5% of the annual rental value, as determined by the Inland Revenue Department.