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Grenada

Taxes

If you want to incorporate in Grenada, reading this will help you becoming knowlegeable on the specific tax laws and rates for an IBC, which is the most common company type in Grenada.

International Business Companies (IBCs) in Grenada are entitled to do business outside the country and may have restrictions to trade and own real estate within the territory or to engage financial services activities. An IBC may be tax-exempt for 20 years. Therefore, IBCs income accrued offshore, from our research, but seek professional advice, is not taxable. This ranks Grenada as 1st when compared to corp. taxation rate internationally. An annual business license fee may apply.

An IBC in Grenada may be formed by one or more shareholders, one or more directors and a secretary, who may be individuals or corporations. A registered agent is required. Standard authorized capital may be US$ 50,000. Shares may be issued with par value or non par value, redeemable or preference shares, registered or with or without rights to vote. Bearer shares are not allowed.
Details of beneficiaries may not be publicly disclosed. IBCs may not be required to file annual reports or financial statements, but they may be required to prepare and maintain accounting records.

Dividends received or paid by an IBC are not subject to taxation. Dividends are distributions of earnings of the legal entity, decided by the board, to a particular class of shareholders. Dividends can be either cash payments, shares of stock, or other property. Capital Gains are not subject to taxation. A capital gains tax is levied on the profits that a corporation or natural person realizes when he or she sells sells a capital asset for a price that is higher than the purchase price.

Payments made by an IBC on dividends, interests, royalties or any kind of fees to non residents are not subject to withholding tax.
The VAT rate in Grenada is 15.00%, which ranks Grenada as 80th overall with regards to VAT taxation rate internationally.

There is no known tax on wealth in Grenada. There are no known inheritance taxes in Grenada. There are real estate and transfer taxes.

The above is not tax or legal advice for your particular facts and circumstance. Incorporations.io can to refer you to a tax advisor in Grenada who can properly advise you. Ready to get started? Click the free consultation button above.

Country details

Grenada
XCD
St. George's
North America
en-GD
107,818

Tax treaties

Country Type Date Signed
Barbados DTC  1994-07-06
Greenland TIEA 2010-05-19
Poland TIEA 2012-07-19
Iceland TIEA 2010-05-19
Norway TIEA 2010-05-19
Denmark TIEA 2010-05-19
Australia TIEA 2010-03-30
Trinidad and Tobago DTC  1994-07-06
France TIEA 2010-03-31
Aruba TIEA 2012-06-21
Vanuatu TIEA 2011-05-31
Antigua and Barbuda DTC  1994-07-06
Netherlands TIEA 2010-02-18
Jamaica DTC  1994-07-06
Germany TIEA 2011-02-11
Saint Vincent and the Grenadines DTC  1994-07-06
United Kingdom DTC  1949-03-04
Guyana DTC  1994-07-06
Switzerland DTC  1963-08-26
Belgium TIEA 2010-03-18
Saint Lucia DTC  1994-07-06
Finland TIEA 2010-05-19
Belize DTC  1994-07-06
Faroe Islands TIEA 2010-05-19
South Africa DTC  1960-08-06
Ireland TIEA 2011-05-31
Saint Kitts and Nevis DTC  1994-07-06
United States TIEA 1986-12-18
Sweden TIEA 2010-05-19
Dominica DTC  1994-07-06

Tax treaties Map

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