Legislative Update: July 2021:
- Effective 1 July 2021 all international business companies (IBCs) were deemed resident companies under the Income Tax Act and are required to file annual tax returns based on unaudited financial statements.
- IBCs must register with the Inland Revenue Department (IRD).
- Additionally, some of the prohibitions under Section 12 of the IBC Act no longer apply. All IBCs are now permitted to do business with residents and may purchase immovable property in Saint Lucia.
- Registered Agents for IBCs incorporated prior to January 1, 2019, have been advised that each company should file an amended and restated Memorandum of Association for compliance with current law. A standard template has been circulated.
- Alien Landholding (Licensing) Act, No. 1 of 2020 (ALA2020)
- IBCs incorporated prior to 1 January 2019 retain the exemption conferred by the previous enactment. Note however, ALA2020 will be relevant to those companies if the beneficial ownership of any related immovable property changes to persons who are deemed aliens.
- Stamp Duty
- Effective 1 July 2021: See Stamp Duty (Amendment of Schedule) (No. 2) Regulations: SI 104 of 2021
- See also Section 109A of the International Business Companies Act (as amended) in respect of companies incorporated after 1 January 2019. Stamp duty exemption allowed only if the transactions do not have the effect of changing the legal or beneficial ownership of property in Saint Lucia.
- Stamp duty on transactions is assessed by the Inland Revenue Department.
- Economic Substance Act - No. 33 of 2019
- This legislation requires a relevant entity to satisfy economic substance requirements to qualify for a tax exemption on income that has accrued from a source outside of Saint Lucia and for related matters.
- Regulations for this Act are not available as yet.
Note: The IBC amendment acts can be found at www.saintluciaifc.com/legislation/legislation.htm.