Bahamas

Last update: 2026-05-31
BS BSD$ English
Pros
Absence of personal income, corporate, capital gains, and inheritance taxes for residents.
Strategic proximity to North American markets combined with a robust offshore financial services framework.
High degree of personal freedom and a desirable tropical lifestyle for international entrepreneurs.
Cons
Elevated operational costs driven by expensive utility services and heavy reliance on imported goods.
Bureaucratic inefficiencies and slow administrative processes within government departments and licensing agencies.
Persistent security concerns regarding violent crime rates in specific urban neighborhoods of Nassau.
Personal income
0%
flat
Corporate
0 → 15%
progressive
Capital gains
0%
flat
VAT (standard)
10%
standard rate
i 9.1 VERY LOW TAX
i 7.2 DIVIDEND PIPELINE
i 6.1 HOLDING
i 2 CRYPTO HAVEN
i 2 PRIVACY GRADE
i 2 EASY CITIZENSHIP
VERYLOW TAX 9.1/10 HOLDING 6.1/10 DIVIDENDPIPELINE 7.2/10 CRYPTOHAVEN 2/10 PRIVACYGRADE 2/10 EASYCITIZENSHIP 2/10
01/08

Will Bahamas tax what you earn?

income tax tax residency territorial system

NO. Bahamas doesn't tax personal income, and doesn't reach for you when you settle. No withholding, no return, no centre-of-vital-interests test waiting to trip. Salary is a non-event here, both in the rate and in the paperwork.

Personal income taxi
0%
flat rate
Income simulatori
Income
Tax due
Effective rate
all-in
Marginal rate
Tax residence testi
N/A
no formal tax residency test · matters mainly for citizenship / immigration tracks
02/08

Will Bahamas tax what you own?

capital gains wealth tax inheritance dividends interest

NO. Bahamas doesn't tax what you hold. No capital gains, no annual wealth assessment, no inheritance regime. The value sitting in your portfolio compounds untouched, and leaves it the same way it arrived.

Capital gainsi
0%
flat
Dividend taxi
0%
flat
Interest incomei
0%
flat
Wealth taxi
NONE
no annual wealth tax · no real-estate wealth tax · no net-worth assessment
Crypto · tax regimei
Regime
ZERO TAX
Rate
0%
The Bahamas has no personal income tax, capital gains tax, or corporate tax. Digital assets are regulated under the DARE Act 2024, but individual gains from trading, mining, or staking are not subject to taxation.
Crypto-to-cryptoi
NEUTRAL
a swap is not a taxable realisation event
FATF travel rulei
IN FORCE
VASPs must share sender / recipient data on transfers above the threshold
Inheritance systemi
NONE
no estate tax · no heir-based duties · no succession tax framework. Wealth transfers across heir-classes are not taxed in this jurisdiction. Only standard probate / registration fees may apply.
03/08

Is it easy to run a company in Bahamas?

corporate tax criminal liability public registry VAT IP box

YES. Corporate tax in Bahamas sits at a low 15%, with no criminal liability for misuse of corporate assets and non-public corporate registries. Cheap to run, discreet on ownership, calm on legal posture. A clean operating jurisdiction.

Corporate taxi
0 → 15%
progressive
IP Box · Patent Boxi
NONE
no IP regime · IP income taxed under standard corporate rules
Misuse of corporate assetsi
NO CRIMINAL LIABILITY
Civil Matter / Breach of Fiduciary Duty
The Bahamas follows English Common Law principles where the 'Misuse of Corporate Assets' (Abus de Biens Sociaux) does not exist as a specific criminal offense. While a company is a separate legal entity, the use of company funds by a sole shareholder-director of a solvent company is typically treated as a civil breach of fiduciary duty under Section 95 of the Companies Act 1992 or as an unauthorized distribution/tax matter. Criminal prosecution for theft or fraud is generally precluded because the 'dishonesty' element is difficult to establish when the sole owner of the entity has consented to the transaction and no creditors are harmed.
Shareholders privacyi
PRIVATE
Registrar General's Department
Directors privacyi
PUBLIC PAYWALL
Registrar General's Department
Incorporation costi
International Business Company (IBC)
International Business Company
Government Registration Fee USD 350
Name Reservation and Stamp Duty USD 125
Professional Incorporation and First-Year Agent Service USD 1,775
Total USD 2,250
VAT standard ratei
10%
2 distinct tiers in force
5% 10%
Food & drink
5%
food
Health
5%
pharma
5%
medical dev.
04/08

Is Bahamas good for your holding company?

treaty network participation exemption withholding

NO. Bahamas doesn't carry a treaty network, which makes it unsuitable as a holding jurisdiction. Any dividend flowing in or out faces full statutory withholding, and no domestic participation exemption can compensate for missing relief on the source side.

Territorial systemi
Individuals
TERRITORIAL
Corporates
TERRITORIAL
Individuals: territorial — foreign-source income generally untaxed. Corporates: territorial principle — foreign-source profits generally exempt.
Participation exemptioni
100%
no minimum threshold · no holding period
CFC rulesi
NONE
no controlled foreign corporation regime · foreign-source corporate income out of scope
WHT · dividendsi
0%
non-resident outbound
WHT · interest
0%
non-resident outbound
WHT · royalties
0%
non-resident outbound
Tax-haven WHT
no punitive rate on record
Treaties signedi
0
active
Treaties pending
in negotiation
Tax treaty networki
origin · BS 0% > 0% no treaty
Inspect a country
Hover any country on the map to read its withholding-tax treaty with BS.
Country Status Dividends Interest Royalties
// no treaties match
05/08

What does it cost to come and go from Bahamas?

exit tax territorial system dual citizenship

LITTLE. Coming and going from Bahamas is cheap. The country runs a territorial system (foreign income stays foreign), and there's no exit tax on departure. You leave with what you came in with, plus whatever you earned abroad while you were here.

Exit taxi
NONE
no triggers active · residence change tax-free · no deemed-disposal mechanism
Dual citizenship
FORBIDDEN
naturalisation requires renouncing existing citizenship
Citizenship paths
Residence
Marriage
Birth
Descent
Investment
06/08

Will Bahamas protect your privacy?

info exchange corporate registries

NOT AT ALL. Bahamas is a signatory to every major automatic-exchange framework: CRS, FATCA, CARF, MLI, MAAC. Financial accounts here will be reported to your home tax authority (Americans: FATCA is in force). Corporate registries stay non-public, returning a thin layer of opacity on the ownership side, but the financial trail is fully visible.

Multilateral reporting frameworks 4/10 active · 5 pending
CRS
2018
CARF
2024
FATCA
2014
MLI
BEPS
MAAC
2018
GLOBAL FORUM
EOIR
CRYPTO-CARF
2024
CRYPTO TRAVEL RULE
07/08

Is Bahamas itself a liability?

blacklists FATF standing

YES. Bahamas sits on multiple major blacklists. Counterparties routinely apply anti-abuse rules, higher withholding, or refuse the transaction entirely. The jurisdiction itself is the risk, regardless of the substance of what you're doing inside it.

Blacklist exposure Listed by 3 authorities
FATF
grey / black list
EU
non-cooperative list
FRANCE
ETNC list
SPAIN
tax-haven list
PORTUGAL
favourable regimes
BRAZIL
low-tax list
08/08

Will you feel free in Bahamas?

press freedom crypto CBDC EU

Not enough data to assess civil liberties and financial freedom in Bahamas.

Press freedom · RSF indexi
Central bank digital currencyi
Program Status Cross-border Sources
Sand Dollar
The main goals of the Sand Dollar to modernise and streamline the country's financial system, reduce service delivery costs, increase transactional efficiency and improve financial inclusion.
Central Bank of Bahamas
LAUNCHED
SEE ALSO

Other jurisdictions worth comparing

Picked by similarity of strategic profile to Bahamas. No editorial ranking — neighbours in the same scoring space.

PROFILE-ADJACENT Same shape, comparable overall friction.
NOTABLY LESS FAVORABLE Same family of strategies, lower total score.