Bahamas Tax Guide
Figures on this page were last verified against the cited sources in June 2026. Always check official sources before making a relocation or incorporation decision.
Best for
- Zero personal tax
0% on personal income — among the simplest tax outcomes globally.
- Zero capital gains
No CGT on investment, property, or crypto disposals (subject to "investor" classification).
- Foreign income exempt
Exempt system — overseas income generally outside the local tax net.
- Corporate-friendly
0% corporate tax — competitive for founders and holding structures.
- No wealth tax
No annual tax on net worth or assets.
Personal Income Tax
Tax Residency
Income Tax Rates
Foreign Income Treatment
Investment Income
No capital gains tax
Wealth & Inheritance
Practical Notes
12% VAT on goods and services. Property taxes on luxury homes. Residency available through real estate investment.
Business & Corporate Tax
Corporate Income Tax
Withholding Taxes
VAT / GST
Compliance & Substance
Notable Regimes
- Zero tax regime
- QDMTT for large MNEs
OECD Pillar Two (15% global minimum tax)
No Pillar Two legislation. Bahamas is exploring a domestic minimum top-up tax but nothing enacted as of mid-2026.
See full implementation trackerTax Treaty Network
No bilateral income-tax treaties (Bahamas has 0% domestic income tax). FATCA Model 1 IGA in force. TIEAs with most major economies.
See full treaty matrixData Sources
Last verified: June 2026. Always check official sources before making a decision.
FAQ
What is the personal income tax rate in Bahamas?
Bahamas has a top personal income tax rate of 0%. The tax structure is: No personal income tax. See the detailed breakdown above and verify with official sources.
Do I need to pay tax on foreign income in Bahamas?
Bahamas uses a exempt system for foreign income. No tax on personal income of any kind
What are the residency requirements for Bahamas?
Tax residency in Bahamas generally requires 183 days of physical presence. 183 days required for tax residency; permanent residency available through investment. Always verify current rules with official sources.
Is there a wealth tax in Bahamas?
No, Bahamas does not have a wealth tax. No wealth tax
What is the corporate tax rate in Bahamas?
The corporate tax rate in Bahamas is 0%. No corporate income tax; 15% QDMTT for large MNEs effective 2025
US citizen moving to Bahamas? Read this first.
Bahamas has 0% personal income tax, so the US-citizen math is dominated by FEIE plus self-employment tax.
- •FEIE (Form 2555) shields ~$130k of earned income in 2026. Income above that has no Foreign Tax Credit to offset US tax (no foreign tax was paid), so it's taxed at regular US rates.
- •Self-employment tax (15.3%) is owed in full — Bahamas has no totalization agreement with the US, so there is no SE-tax exemption.
- •Investment income (dividends, capital gains, interest) is taxed at standard US rates. No FTC because no Bahamas tax was paid.
- •Bahamas residency requires 183 days. State residency severance from a sticky state (CA, NY, VA, NM, SC) before international move is the highest-stakes practical step.
Need someone to actually plan Bahamas for you?
TaxAtlas covers the rates and rules. For the personal side — exit planning, residency strategy, business structure, or filings — request a response and we'll point you to relevant research or a specialist who handles Bahamas cases.
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