Stamp Duty &
What it Means
The Turks and Caicos Island is a tax-free jurisdiction – no income tax, no property tax. However, the Government must have the means to be able to support infrastructure, school, health care, etc. There are several ways in which this is done including Stamp Duty. Stamp Duty is the 3rd largest income-generating program for the Turks and Caicos Government.
Most villas, homes, and condo are sold furnished in the Turks and Caicos real estate market – this is included in the asking price. Because furniture has already had import duty applied at the time of purchase, the Government does not double tax. When you buy a furnished property, an inventory is supplied by the vendor at the time of sale. Furniture and fixtures are assessed and allowance of up to 10% of the value of the property can be deducted for Stamp Duty purposes.
For example, if the sale price is $1,000,000, up to $100,000 (10%) is an allowed deductible so that you would pay Stamp Duty on $900,000.
A fee applied to almost all goods being imported, percentages vary depending on the item
Tax applied to vacation rentals, bars, charters, tours, restaurants, etc. 12% fee added
A onetime duty paid by the purchaser within 30 days of completion of a sale
Providenciales, West Caicos and East Caicos
- $25,000 – $250,000 – Stamp Duty Rate is 6 ½ % of Sale Price
- $250,000 – $500,000 – Stamp Duty Rate is 8% of Sale Price
- $500,000 and up – Stamp Duty is 10% of Sale Price
Grand Turk, South Caicos, Middle Caicos and North Caicos
- $25,000 – $100,000 – Stamp Duty Rate is 5% of Sale Price
- $100,000 and up – Stamp Duty Rate is 6.5% of Sale Price
From time to time the Government will reduce Stamp Duty as a concession to boost the economy. Such a time is 2020 with a total shut down of the country due to Covid-19. The Government mandated a 50% reduction in all Stamp Duties for a limited time beginning April 1, 2020. For details CLICK HERE