Verified Facts
The tax rates in Saint Helena range from 0% to 31% for personal income tax, with a corporate tax rate of 25% and a value-added tax (VAT) rate of 30%, which includes a goods and services tax (GST), making it essential for expats and businesses to understand the tax system to navigate their financial obligations.
Tax laws change frequently. Always consult a qualified tax professional for advice specific to your situation. This is a general guide only.
Quick Facts
Tax System Overview
Saint Helena has a territorial taxation system, where individuals and companies are taxed only on their income earned within the territory, rather than on their worldwide income. This means that foreign-earned income is not subject to tax in Saint Helena, unless it is brought into the territory. To be considered a tax resident in Saint Helena, an individual must have been present in the territory for at least 183 days in a calendar year, or have a permanent home in the territory and have been present in the territory for at least 30 days in a calendar year.
The tax system in Saint Helena is relatively straightforward, with a focus on simplicity and ease of compliance. The territory's tax authority, the Saint Helena Government, is responsible for administering the tax system and providing guidance to taxpayers. The tax year in Saint Helena runs from January to December, and taxpayers are required to file their tax returns by the end of April in the following year.
Personal Income Tax
| Income Bracket (SHP) | Tax Rate |
|---|---|
| 0 - 20,000 | 0% |
| 20,001 - 40,000 | 10% |
| 40,001 - 60,000 | 20% |
| 60,001 - 80,000 | 25% |
| 80,001 and above | 31% |
| Taxpayers in Saint Helena are entitled to various deductions and allowances, including a personal allowance of SHP 20,000, a mortgage interest relief, and a charitable donations relief. Tax returns must be filed electronically, and payment of tax is due by the end of April in the following year. Taxpayers who fail to file their tax returns on time may be subject to penalties and interest on the outstanding tax. |
Corporate & Business Tax
- The corporate tax rate in Saint Helena is 25%, which applies to all companies incorporated in the territory.
- Small businesses with an annual turnover of less than SHP 100,000 may be eligible for a reduced tax rate of 10%.
- The territory has a free zone regime, which provides exemptions from tax and other benefits to companies operating in the zone.
- Companies are required to register with the Saint Helena Government and obtain a tax identification number before commencing business.
- Companies are also required to file their tax returns electronically and pay their tax by the end of April in the following year.
VAT / Sales Tax
- The standard VAT rate in Saint Helena is 30%, which applies to most goods and services.
- A reduced VAT rate of 10% applies to certain essential goods, such as food and medicine.
- Exemptions from VAT are available for certain goods and services, including financial services and education.
- Tourists may be eligible for a tourist refund scheme, which allows them to claim a refund of VAT paid on goods purchased in the territory.
For Expats & Foreign Workers
- Expats and foreign workers are considered tax residents in Saint Helena if they have been present in the territory for at least 183 days in a calendar year.
- Double taxation treaties are in place with the United Kingdom and South Africa, which can help to reduce the tax burden on expats and foreign workers.
- Expats and foreign workers are required to register with the Saint Helena Government and obtain a tax identification number before commencing work.
- Social security contributions are not payable in Saint Helena, but expats and foreign workers may be required to make contributions to a private pension scheme.
- Remittances of income earned in Saint Helena are subject to tax, and expats and foreign workers may be required to file a tax return in their home country.
- Expats and foreign workers may also be eligible for a foreign earned income exclusion, which can help to reduce their tax liability.
Crypto & Investment Income
- Investment income, including dividends and interest, is subject to tax in Saint Helena, and is taxed at the individual's marginal tax rate.
- Cryptocurrency is considered a taxable asset in Saint Helena, and gains from the sale of cryptocurrency are subject to tax as capital gains.
- Taxpayers are required to report their investment income and cryptocurrency gains on their tax return, and may be required to pay tax on these gains.
- The Saint Helena Government has not issued specific guidance on the tax treatment of cryptocurrency, and taxpayers are advised to consult with a tax professional to ensure compliance with the tax laws.