In Bermuda there is no income tax, capital gains
tax, VAT, sales or use tax or wealth tax. Annual
government fees are imposed on businesses and
there is a payroll tax. Local businesses must
be controlled by Bermudians but offshore operations
take place through 'exempt' or 'permit' companies.
Since
Bermuda does not levy direct taxes, there are
no double tax treaties between Bermuda and other
nations. There is however a tax treaty with the
US which exempts insurance premium payments from
US franchise taxes, and grants tax breaks to US
companies holding conventions in Bermuda.
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