🇧🇲 Tax1 Jan 2025
Bermuda's 15% corporate income tax applies to large multinational groups from 2025
Bermuda's Corporate Income Tax Act 2023 applies a 15% tax to Bermuda entities of multinational groups with annual revenue of €750 million or more, for fiscal years beginning on or after 1 January 2025. A new Corporate Income Tax Agency administers it. It was Bermuda's response to the OECD global minimum tax.
The Corporate Income Tax Act 2023, enacted in December 2023, introduced Bermuda's first corporate income tax, in response to the OECD's global minimum tax (Pillar Two).
What applies
- A 15% tax on the net taxable income of Bermuda entities in multinational groups with annual consolidated revenue of €750 million or more.
- It applies to fiscal years beginning on or after 1 January 2025.
- A Corporate Income Tax Agency administers the tax, including registration and filings.
- Some groups, such as those with limited international activity, may qualify for a deferral. The Act has been amended since enactment.
Who is affected
Bermuda companies in large multinational groups, and those who keep their statutory and tax records.
What to do
Check whether each Bermuda entity belongs to an in-scope group and whether a deferral applies, and register with the Agency.