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United Arab Emirates vs Barbados
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇦🇪 United Arab Emirates
vs
🇧🇧 Barbados
Tax Year:

💰 Personal Income Tax Calculator

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0%
No personal income tax; unlikely to change short-term
No change
12.5–28.5%
28.5% top; competitive Caribbean jurisdiction
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
5%
5% stable; GCC coordination maintained
No change
17.5%
17.5% stable
No change

Corporate Tax Rate

Corporate Tax Rate
9%
Corporate tax compliance and reporting maturing
No change
5.5–9%
Tiered rate; Pillar Two compliance for large groups
No change

Capital Gains Tax

Capital Gains Tax
0%
No CGT; free zone benefits under review for Pillar Two
No change
0%
No CGT — sustained advantage
No change

Social Security & Payroll

Social Security / Payroll
~17.5%
Emiratisation targets affecting employer costs
No change
~18.1%
NIS contributions; pension reform needed
No change
State, Regional & Local Taxes

🇦🇪 United Arab EmiratesEmirate-Level Fees & Free Zone Benefits

The UAE has no federal income tax on individuals. Emirates impose municipality fees (~5%) on commercial rents and tourism/hotel fees of 10–15%. Free Zones (DIFC, ADGM, Jebel Ali) offer 0–9% corporate rates for qualifying activities. Real estate transfer fees of 4% apply in Dubai. Emiratisation targets are increasing employer costs.

🇧🇧 BarbadosParish Councils & Land Tax

Barbados's 11 parishes have parish councils that levy land tax at 0.1%–0.7% 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.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

United Arab Emirates vs Barbados: Key Tax Differences (2026)

💰 Income Tax: 🇧🇧 Barbados has a higher top income tax rate (0% vs 12.5–28.5%). 🇦🇪 United Arab Emirates is more favourable for high earners.

🛒 VAT/Sales Tax: Barbados has a higher consumption tax (5% vs 17.5%).

🏢 Corporate Tax: Corporate rates are similar in both countries (9% vs 5.5–9%).

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