Bahamas vs Cyprus
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π§πΈ Bahamas β Local Government Rates & Fees
The Bahamas' islands have local government bodies collecting fees for services, building permits, and business licences. The Bahamas famously has no income tax, no capital gains tax, no corporate income tax, and no withholding tax β making it one of the world's purest zero-tax jurisdictions. Revenue comes through VAT (introduced 2015), real property tax, customs duties, and stamp duty. As a major offshore financial centre and tourism destination, the Bahamas has faced OECD/FATF pressure on transparency and has made significant reforms.
π¨πΎ Cyprus β Municipal & Community Taxes
Cyprus's 5 districts and 30+ municipalities/communities levy local taxes including immovable property tax (at municipal level after national IPT was abolished in 2017), refuse collection fees, and business licences. Nicosia and Limassol have the highest municipal charges. Cyprus is a major international financial centre offering non-dom status (no tax on dividends/interest for non-domiciled residents for 17 years), which attracts wealthy individuals. The IP Box regime offers 2.5% effective tax on qualifying IP income.
Bahamas vs Cyprus: Key Tax Differences (2026)
π° Income Tax: π¨πΎ Cyprus has a higher top income tax rate (0% vs 0β35%). π§πΈ Bahamas is more favourable for high earners.
π VAT/Sales Tax: Cyprus has a higher consumption tax (10% vs 5β19%).
π’ Corporate Tax: π§πΈ Bahamas offers a lower corporate rate (0% vs 12.5%), which can influence business location decisions.
π Capital Gains: π§πΈ Bahamas taxes investment gains at a lower rate (0% vs 20%), benefiting investors.