If you are wanting to do business in Solomon Islands, this article will educate you on the tax laws for a which is the most common legal entity in Solomon Islands.

The country has income tax levied made offshore independently then it it was derived locally. Theestablished rate for offshore income, from our research, and these things do change, is 0%. Solomon Islands doesn't have major incentives to bring in income earned abroad made offshore. Taxes are lower than average in Solomon Islands as the effective rate of taxation on an entity is 30%. This ranks Solomon Islands as 134th overall in terms of corp. taxation rate internationally. . .

The VAT rate in SB is 15.00%, which ranks Solomon Islands as 134th overall in terms of VAT taxation rate internationally. In terms of other taxation, an employer will contribute 750.00% to the equivalent of a social security fund and an employee will contribute 5.00%. The overall complexity of the tax system is low. This is measured by average time to comply with a country's labor tax requirements is as it is 30hours. Contributing to this is the number of yearly labor tax payments, which is 8 in SB.

This refers to any type of requirements on a business and the debt-to-asset ratios. A dividend is payments of a company's earnings, passed by by the board of directors, to a particular class of shareholders.Dividends can be issued as shares of stock, cash payments, or other property. The capital gains taxation rate in SBis 0%. A capital gains tax is levied on the profits that a corporation or natural person realizes when they sell sells a capital asset for a price that is higher than the purchase price.

The interest witholding rate is estimated at 10%This should be interpreted usually that the tax authorities expects 's to automatically withhold 10% of payments offshore for for interest payments. The dividends witholding rate is 30%This should be interpreted usually that the relevant tax authorities expects relevant legal entities to automatically withhold 30% of money remitted abroad for dividend payments. The royalties witholding rate 15% Which means that the taxman expects relevant legal entities to automatically withhold 15% of payments abroad for royalty payments.
There is no known tax on wealth in Solomon Islands. There are no known inheritance taxes in Solomon Islands. There are not many frequently implemented credits for innovation spend that include tax relieft in Solomon Islands.

The above is not tax or legal advice for your company's personal tax obligations. We are able to to help you find to a lawyerin Solomon Islands who can answer all your questions. Click the free consultation button above.