What is the Belize Income and Business Tax Act (IBTA)?

Since January 1, 2019, Belize international business companies (IBCs) are no longer automatically exempt from taxes. Like a domestic business, these IBCs are subject to the Belize Income and Business Tax Act (IBTA).

Under IBTA, Belize has a dual taxation system. Businesses are levied with two sorts of taxes:

• Belize business tax (equivalent to VAT) is computed on gross income or turnover;
• Belize corporate income tax (CIT) is computed on chargeable income.

The general Belize income tax rate is 25%.