Cape Verde vs Grenada
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
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๐จ๐ป Cape Verde โ Cape Verde Tax System
Cape Verde (Cabo Verde) has a progressive income tax system up to 27.5%. IVA (VAT) is 15%. As a small island developing state with few natural resources, the economy depends on tourism and remittances. The country has a relatively good governance record for West Africa and is pursuing double taxation agreements. A 10% withholding tax applies to dividends and interest.
๐ฌ๐ฉ Grenada โ Grenada Tax System
Grenada imposes income tax at a flat 30% on income above the personal allowance. No capital gains tax applies. VAT is 15%. The Citizenship by Investment programme (among the oldest in the Caribbean) is a significant revenue source. The 'Spice Isle' economy depends heavily on tourism and nutmeg exports.
Cape Verde vs Grenada: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฌ๐ฉ Grenada has a higher top income tax rate (0โ27.5% vs 0โ30%). ๐จ๐ป Cape Verde is more favourable for high earners.
๐ VAT/Sales Tax: Both countries have comparable consumption tax rates (15% vs 15%).
๐ข Corporate Tax: ๐จ๐ป Cape Verde offers a lower corporate rate (25% vs 28%), which can influence business location decisions.
๐ Capital Gains: ๐ฌ๐ฉ Grenada taxes investment gains at a lower rate (0% vs 25%), benefiting investors.