Isle of Man
National insurance contributions
For the tax year commencing on 6 April 2023, no national insurance contributions are payable by employees where earnings are less than IMP 145 per week. Above this limit, 11% is paid by employees on earnings up to a limit of IMP 864 per week, and at 1% on earnings above IMP 864 per week.
Employers are also required to make a national insurance contribution in respect of each employee at rates dependent on individual circumstances.
Self-employed persons earning IMP 7,540 or more per annum pay a flat-rate contribution of IMP 5.70 per week. In addition, there is a contribution of 8% of profits between IMP 7,540 and IMP 44,928 per annum and at 1% on earnings over IMP 44,928.
Value-added tax (VAT)
The standard rate of VAT is 20% and is applicable on the purchase of most goods and services. Some supplies (e.g. food, books and publications, public transport) are charged at 0% VAT. There is also a rate of 5% VAT charged on domestic property repairs.
It should be noted that self-employed individuals who have a turnover of more that IMP 85,000 are required to register for VAT and charge it to their customers at the relevant rate.
Net wealth/worth taxes
There are no net wealth/worth taxes in the Isle of Man.
Inheritance, estate, and gift taxes
There are no death duties, estate duties, or gift taxes in the Isle of Man.
Customs and excise duties
In addition to VAT, the Isle of Man forms a common jurisdiction for customs and excise duties with the United Kingdom, and, again, the rules are broadly identical. Customs duties are levied on most goods imported from outside the European Union (EU) into the Isle of Man, and there are various rates of duty that apply. Excise duties apply to such things as alcohol, tobacco, and fuels, and there are various rates of duty that apply. There is also a levy on commercial passenger flights known as Air Passenger Duty.