Bermuda 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 ā 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 ā overseas income generally outside the local tax net.
- Corporate-friendly
0% corporate tax ā 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
Payroll tax up to 10.25% (employer portion). Customs duties on imports. Leading insurance/reinsurance hub.
Business & Corporate Tax
Corporate Income Tax
Withholding Taxes
VAT / GST
Compliance & Substance
Notable Regimes
- Insurance hub incentives
- 15% for large MNEs
OECD Pillar Two (15% global minimum tax)
Bermuda Corporate Income Tax Act 2023: 15% CIT for in-scope MNE entities from 1 Jan 2025. Functions as both Bermuda CIT and Pillar Two-compliant top-up.
See full implementation trackerTax Treaty Network
Limited treaty network. Bermuda uses Model 2 FATCA IGA. Recent Bermuda CIT Act 2023 (15% CIT on in-scope MNEs from 2025) may drive treaty-network expansion.
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 Bermuda?
Bermuda 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 Bermuda?
Bermuda uses a exempt system for foreign income. No personal income tax
What are the residency requirements for Bermuda?
Tax residency in Bermuda generally requires 183 days of physical presence. 183 days required for tax residency. Always verify current rules with official sources.
Is there a wealth tax in Bermuda?
No, Bermuda does not have a wealth tax. No wealth tax
What is the corporate tax rate in Bermuda?
The corporate tax rate in Bermuda is 0%. No corporate income tax; 15% corporate tax introduced for large MNEs (revenue >ā¬750m) from 2025
US citizen moving to Bermuda? Read this first.
Bermuda has 0% personal income tax, so the US-citizen math is dominated by FEIE plus self-employment tax.
- ā¢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.
- ā¢Self-employment tax (15.3%) is owed in full ā Bermuda has no totalization agreement with the US, so there is no SE-tax exemption.
- ā¢Investment income (dividends, capital gains, interest) is taxed at standard US rates. No FTC because no Bermuda tax was paid.
- ā¢Bermuda 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 Bermuda for you?
TaxAtlas covers the rates and rules. For the personal side ā exit planning, residency strategy, business structure, or filings ā request a response and we'll point you to relevant research or a specialist who handles Bermuda cases.
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