Barbados vs Philippines
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
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๐ง๐ง Barbados โ Parish Councils & Land Tax
Barbados's 11 parishes have parish councils that levy land tax at 0.1%โ0.7% of site value. Barbados has long been a significant international business and financial centre, particularly for Canadian companies. Major tax reform in 2019 aligned Barbados with OECD BEPS standards. A tiered corporate tax rate structure was introduced. Barbados was removed from the EU tax haven blacklist following these reforms and maintains competitiveness as an IFC.
๐ต๐ญ Philippines โ Local Government Unit (LGU) Taxes
The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%โ2% of gross receipts), real property tax, and fees. Cities can levy local business taxes at their own rates within national caps. The local business tax is a major compliance burden for businesses operating across multiple LGUs. The BIR (Bureau of Internal Revenue) administers national taxes. The Create Act (2021) significantly reformed corporate income tax rates.
Barbados vs Philippines: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ต๐ญ Philippines has a higher top income tax rate (12.5โ28.5% vs 0โ35%). ๐ง๐ง Barbados is more favourable for high earners.
๐ VAT/Sales Tax: Barbados has a higher consumption tax (17.5% vs 12%).
๐ข Corporate Tax: ๐ง๐ง Barbados offers a lower corporate rate (9% vs 25%), which can influence business location decisions.
๐ Capital Gains: ๐ง๐ง Barbados taxes investment gains at a lower rate (0% vs 15%), benefiting investors.