Income Tax
Persons who are earning more than $25,600 per year are charged a flat tax rate of 25%. Those who are employed and resident in Belize and whose total income per annum from all sources is less than $25,600 are exempt from Income Tax.
However, there is a 2-tier approach towards income tax deductions on income based on the announcement by the Government of Belize that came into effect in April 2010. For income earners earning over $25,600, the basic deduction or basic personal relief remains at 19,600.
| Example of income earning over $25,600: | |
|---|---|
| Total Income: Less Basic Personal Relief: Chargeable Income: |
$27,000 $19,600 $7,400 |
| The $7,400 is taxed at 25% Less: Standard tax deduction Tax Payable to GOB |
$1,850 $100 $1,750 |
Some Facts:
- The filing date for the Income Tax Return is 31st March, unless otherwise approved by the Commissioner of Income Tax.
- Penalties: 3% of the balance of the tax due for each month, or part of the month that your return is late, minimum of $10.00.
- Interest charges: if there is a balance of tax after 31st March, a rate of 1.5% per month is charged until final payment is made.
- A refund becomes due when the tax payable is less than the tax deducted from income, or if tax was deducted and total income was below the new threshold of $25,600.
- Other reliefs: Charity (maximum is $250); Education (maximum is $400 per child not your own).
For Further Information Contact:
Income Tax Department
Belize City
Tel: (501) 222-4956/4776/4005
Fax: (501) 222-4029
This document/effort/project has been produced with the financial assistance of the