Cook Islands: Domestic Taxation
In the Cook Islands there is no capital gains tax, inheritance tax or estate duty, capital transfer tax, gifts tax or wealth tax. The main tax on individuals is income tax at a maximum rate of 30%. There is VAT at 12.5%, there is Stamp Duty on some official transactions, and there are import duties.
These are levied at rates specified by law in 18 bands ranging from 0%–150% percent, with an average effective rate of slightly over 10% on the cif (cost plus insurance plus freight) value of all imported goods.
The government had lifted most import levies from July 1, 2006, although duties on pork, fresh fruit, vegetables, pearls, soft drinks, motor vehicles, liquor, tobacco and fuel remain in place.