Barbados

Value added tax

With effect from 1 October 2026, the VAT registration threshold will be increased from $200,000 to $350,000.

Economic substance

The Companies (Economic Substance) Act, 2019-43 (the “ESA”) was repealed with effect from 1 January 2025 and economic substance requirements were integrated in the Income Tax Act.  Barbados’ economic substance compliance and reporting requirements now only apply to a resident entity which:

• derives gross income from insurance business or international shipping business in an income year; and
• is liable to corporation income tax at a rate of less than 9%.