Press releases

Tax Update 2016

English

Many amendments have already been implemented following the tax revision of January 2015.

In implementing the legislative amendments, the government of Curaҫao aims to boost the economy and the employment, enhance the business climate for foreign companies, simplify the tax system, and reduce the administrative burden.

We inform you in this newsflash about the profit and income tax amendments applicable as from January 1, 2016.

Profit tax

The profit tax rate will be reduced to 22%, down from 25%. For taxpayers whose financial year is a non‑calendar year the rate will first apply as from the first financial year after January 1, 2016.

Accelerated write-down capped at one third of the cost price of an asset will no longer be possible as from 2016. As regards real estate, as from 2016 it is not be possible to write down in excess of 50% of the value for which each piece of real estate is subject to real estate tax.

Income tax

Compared with 2015, the income tax rates have been further reduced and the taxable bases for each of the tax brackets have been extended. The tax credits have been raised.

1e bracket

0 - 30,000

9.75%

2e bracket

30.000 - 40,000

15.00%

3e bracket

40,000 - 60,000

23.00%

4e bracket

60,000 - 85,000

30.00%

5e bracket

85,000 - 125,000

37.50%

6e bracket

125,000 -

46.50%

 

Basic tax credit

 

2,175

Single earner tax credit

 

1,366

Child tax credit

I

727

 

II

364

 

III

95

 

IV

73

Elderly person’s tax credit

 

1,030

Partner

 

516

 

The deduction of the contribution for fire and accident insurance as regards the home ownership scheme will be abolished as from 2016. The deduction for maintenance costs capped at ANG 3,000 had already been abolished in 2015.

Please refer to our newsflash for a recapitulation of the main legislative amendments as from January 1, 2015.

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