The following table provides an overview of other taxes that may be imposed on a company doing business in the country.

Tax Type	Rate(s)	Notes
Capital Duty	Varies	Exempted companies are subject to an annual fee based on assessed capital. The fee ranges from BMD 2,095 up to BMD 32,676 depending on the amount of capital, with the highest fee applied when capital exceeds BMD 500 million.
Payroll Tax	Varies	A payroll tax is imposed on the total value of benefits in cash and kind paid or given to an employee. A maximum taxable remuneration cap of BMD 1 million (increased from 900,000, effective 1 April 2023) applies above which no payroll tax is levied. The payroll tax consists of employer and employee portions. The employer payroll tax portion depends on the class of the taxpayer and the annual remuneration, while the employee payroll tax portion depends on the annual remuneration received by the employee. The obligation to pay the payroll tax is entirely with the employer. See the note below for the rates.
Social Security Employer Contribution	BMD 35.92 per week	Employers are required to pay a contribution of BMD 35.92 per employee per week.
Social Security Employee Contribution	BMD 35.92 per week	Employees are required to pay a contribution of BMD 35.92 per week.
Property Tax	Varies	An annual land tax is levied on the annual rental value of the land, subject to certain exceptions. The annual land tax rate ranges between 0.8% to 55% based on the annual rental value of the property. Commercial properties are subject to a general rate of 9.5%. Land tax on commercial properties is levied at the rate of 7% in the Economic Empowerment Zone. Tourist properties are subject to land tax at a rate of 8.9%.
Transfer Tax	Nil	There is no transfer tax in Bermuda.
Stamp Duty	Varies	Stamp duty is levied on certain legal instruments, including lease agreements, land transfers, mortgage or refinancing agreements, etc., but does not apply to exempted companies.
Excise Taxes	Nil	There is no excise tax in Bermuda.
Customs Duty	Varies	Customs duty applies for most goods imported into Bermuda at various rates depending on the class or tariff code of the product. A sugar tax of 75% is imposed on non-nutritive food items.
Corporate Services tax	7%	Providers of corporate services such as administrative, management, secretarial, and other services are subject to a corporate service tax at the rate of 7% on gross revenue derived from an exempted undertaking.
Financial Services Tax	0.0075% up to 3.50%	Effective 1 April 2017, Bermuda has introduced a new financial services tax for banks, domestic insurance, and money service businesses. Effective 1 April 2019, the rates vary from 0.0075% up to 3.50% depending on the type of financial services provided. Effective 1 April 2018, collecting premiums may not be considered an exempt activity under the Exempted Undertakings Tax Protection Act.
Foreign Currency Purchase Tax	1.25%	A foreign currency purchase tax is applied at a rate of 1.25% on any foreign currency purchased by a resident from a local bank.

Note:

Payroll Tax

The employer and employee contributions towards payroll tax are as follows:

Annual Compensation	Contribution %
Employer Contribution (based on annual payroll) (Effective 1 April 2023)
Up to BMD 200,000	1% (reduced from 1.75%)
BMD 200,001 up to BMD 350,000	2.50% (reduced from 3.50%)
BMD 350,001 up to BMD 500,000	5.25% (reduced from 6.50%)
BMD 500,001 up to BMD 1 million	7.50% (reduced from 9.00%)
More than BMD 1 million	10% (reduced from 10.25%)
Employee Contribution (based on annual remuneration) (Effective 1 April 2023)
Up to BMD 48,000	0.50% (reduced from 1.50%)
BMD 48,001 up to BMD 96,000	9.25% (increased from 9%)
BMD 96,001 up to 200,000	10% (increased from 9%)
BMD 200,001 up to 500,000	11.50% (increased from 9% for BMD 200,001 to BMD 235,000 and from 9.50% for BMD 235,001 to 500,000)
BMD 500,001 up to 1 million	12.50% (increased from 9.50%)

Certain categories of employers and employees may be exempt or charged to tax at special rates, including the following:

International businesses, which normally register as exempted undertakings, are required to make employer contributions at the rate of 10.25% of the total employee remuneration;
Employers operating hotels or restaurants with an annual payroll of BMD 350,000 or more are required to make employer contributions at the rate of 5% (reduced from 6% effective 1 April 2023);
Employers operating a qualifying retail store with an annual payroll of more than BMD 500,000 whose primary business is the sale of fashion, shoes, jewelry and perfume are required to make employer contributions at the rate of 6% (reduced from 7% effective 1 April 2023);
Educational, sporting, or scientific institutions, associations, or societies and horticulturists are required to make employer contributions at the rate of 1% (reduced from 1.75% effective 1 April 2023);
Bermuda Hospitals Board and the corporations of Hamilton and St. George’s are required to make employer contributions at the rate of 2.5%;
Government, Parish Councils, Government Boards, the Bermuda College, approved schools, registered charities, religious and cultural organizations and the Bermuda Festival Ltd., and an employer in an Economic Empowerment Zone (9 quarters) are exempt from payroll tax;
New hire remuneration and remuneration paid to employees in certain special specified situations are exempt from payroll tax; and
Self-employed farmers and fishermen are exempt from payroll tax.

New business owners who register with the Bermuda Economic Development Corporation (BEDC) and meet specified conditions are eligible for payroll tax exemption for the first year of business. The general conditions for the exemption include:

The business is a new business established after 1 April 2018 that is Bermudian owned and managed, and operated locally; and
The annual gross payroll of the business does not exceed BMD 500,000, and annual sales revenue is less than BMD 1 million.

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