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Organization : Government of Bermuda
Facility : Registering, Changing, or Closing a Tax Account
Country : Bermuda
Website :
Details Here :

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Registering a Tax Account :

Every employer and self-employed person who is liable for tax must register with the Office of the Tax Commissioner within seven days of the end of the first tax period in which the employer or self-employed person commences business. It is a criminal offence to fail to register.

Related : How to Pay Tax Bermuda :

To register, submit the Employer payroll tax registration application form to the Office of the Tax Commissioner with the following :
i. Self-employed persons and Unincorporated partnerships :
** a copy of either your driver’s licence or passport
** a recent utility bill to verify current address
** a business plan, at the request of the tax officer
** a partnership agreement

ii. Limited companies (Ltd.) and Limited liability companies (LLC) :
** Certificate of incorporation or Certificate of formation
** a current share register or a current register of LLC members
** Memorandum of Association
** a copy of driver’s licences or passports for all shareholders / members

iii. Unincorporated associations/charities/not for profit organization :
** statement of activities
** rules or constitution of the organization
** a list of executive members responsible for debts and contractual obligations
** a copy of valid ID for all executive members

Note that other documents not mentioned above may be requested by the Office of the Tax Commissioner in order to verify the business legitimacy.

Tax account change of status :
Whenever you change the name, address, ownership, or business structure, you must file A Change of Status Form.

Deleting your tax account :
If your business has closed, either temporarily or permanently, you must file a Payroll tax Deletion/Inactive Form.

You may be required to provide proof of closure. Penalties and underpayments will be levied in cases where the employer fails to notify the Office of the Tax Commissioner of business closure.

Types of taxes in Bermuda :
Individuals in Bermuda don’t pay personal income tax. Instead, the Government of Bermuda levies a Payroll Tax.

Payroll Tax :
Payroll Tax is levied on all employers. However, as an employee your employer may deduct a 6 per cent withholding amount from your salary to contribute toward the total Payroll Tax obligation. If you’re self-employed, you are required to pay Payroll Taxes yourself.

Land Tax :
All homeowners and long-term tenants are required to pay Land Tax twice yearly. You must pay Land Tax if you are :
** the sole proprietor of a property
** a life tenant in an property
** a leaseholder for three or more years
** a periodic (yearly or monthly) tenant of property owned by the Government of Bermuda

Land Tax due dates in Bermuda :
Land Tax is due twice a year twice a year in March and September, on the specified date in the demand note issued by the Tax Commissioner. Failure to pay on the due date will result in the accumulation of interest on the amount owing at 7 per cent per month.

Relief from Bermuda Land Tax :
If you are 65 years old or over and own and occupy a private dwelling, you can be exempted from $1,566 in Land Tax annually. This exemption only applies to homes with annual rental value (ARV) up to $45,500. Tax will be due on the value of the ARV in excess of $45,500.

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