In part one of our interview with Christian Dunleavy, the ABIC chair highlights how we must remain competitive to balance the impact of the Corporate Income Tax.
The Corporate Income Tax is, quote “the most significant change to our economic model in our history”, end quote… and it has just come into effect.
Amid spurious rumours to the contrary, Christian Dunleavy, Chair of the Association of Bermuda International Companies, does not forsee an exodus of companies from Bermuda over the new tax anytime soon.
However, in an extended interview with Gary Foster Skelton he urges Bermuda to remain competitive and manage the, quote, “effective tax” on those seeking to do business here.
That is, the cost of living, the regulatory demands and the speed of Government services… along with making sure Bermuda is an attractive place to live and work.
The Corporate Income Tax came into effect on January 1st, 2025.
It applies to Bermuda businesses that are part of a multinational enterprise with annual revenue of 750-million euros or more – currently equivalent to about 782-million dollars.
The CIT is the local application of the OECD’s Global Minimum Tax.
Some reduction in other local taxes and fees on the International Business sector is expected.
