Isle of Man

Individual - Significant developments

Last reviewed - 24 August 2021

Tax treaties

As of 30 June 2021, the Isle of Man had entered into 11 comprehensive double tax agreements (DTAs), 13 limited-scope DTAs, and 39 tax information exchange agreements (TIEAs) based on the Organisation for Economic Co-operation and Development (OECD) models. The Isle of Man also has a DTA with the United Kingdom (UK) that predates the OECD model.

COVID-19 updates

A number of financial measures were introduced by the Isle of Man government to support businesses and individuals during the COVID-19 pandemic.  The financial measures included :

  • Salary support scheme;
  • Manx Earnings replacement allowance (MERA);
  • Business and Fisheries support schemes;
  • Strategic capacity scheme.

All amounts received under the above measures are treated as taxable income for tax purposes with the specific exception of MERA.

Partnerships

With effect from 17 June 2021, it is a legal requirement for all partnerships to register with the Assessor of Income Tax. 

This includes IoM General partnerships (including those where partners are a married couple or civil partners), and all types of partnerships and LLCs formed outside the Isle of Man where the partnership is tax resident due to it's management and control being exercised in the IoM or it having a place of business in the IoM.

Transitional arrangements are in place for partnerships that were in operation prior to the legislation coming into force.