Gibraltar maintains an independent tax status and can enact its own tax legislation independently of Britain. In Gibraltar, there is no VAT, capital gains tax, inheritance tax, wealth tax, gift tax, withholding tax and no tax on interest or gains made on monetary investments.
In addition, there is no taxation on dividends to any company or to a non-resident individual. This makes Gibraltar an attractive jurisdiction to set up holding companies as dividend can be received completely free of tax.
Taxable profits are charged with corporation tax of 12.5%. However, (with the exceptions of royalties and loan interest of more than £100,000 per annum), only income which accrues in or is derived from Gibraltar is subject to corporation tax in Gibraltar.
Gibraltar operates a low tax regime including a tax residency scheme for individuals with net assets in excess of £2 million (conditions apply) capping the maximum personal income tax at between £37,000 and £44,740.
Assessment and collection of tax is administered by the Commissioner of Income Tax. The tax year runs from 1st July to the following 30th June.
Gibraltar has a thriving and diverse economy. It is built on four distinct sectors: financial services, shipping, tourism and e-gaming. Gibraltar’s prosperous economy has proven to be strong and robust even during the recent global financial crisis, with our gross domestic product steadily growing year and year.
Gibraltar offers a vibrant property market with an excellent choice of high quality housing. Gibraltar provides diverse marina facilities capable of berthing large luxury yachts. It is a Mediterranean territory and as such enjoys excellent weather and lifestyle.