Barbados Moving Ahead With Cultural Tax Breaks
by Mike Godfrey, Lowtax.net, Washington
09 February, 2015
Speaking at the recent Caribbean Music Summit, Barbados's Minister of Culture, Sports, and Youth, Stephen Lashley, called on businesses to take advantage of new tax breaks for cultural industries.
The territory formally announced the introduction of the Cultural Industries Development Act on February 1. The legislation will introduce various tax breaks for cultural activities, intended to provide a level of tax support equivalent to that provided to the tourism industry. The legislation will provide import duty exemptions and income tax benefits for projects.
Lashley told the event that individuals or private sector companies that invest in approved cultural projects will be eligible for generous income tax concessions for the first five years after the commencement of the Act. "Persons, particularly in the private sector, can come up with a cultural project... Once that cultural project is designed and submitted to the Cultural Industries Development Authority and approved, there are a host of incentives in terms of exemption from import duties and income tax concessions that are allowed under the legislation," he said.
"Once the investor has evidence that he is supporting a registered cultural business or cultural project, he or she, in calculating their assessable income, would be entitled to claim the relevant income tax concession."
Lashley further announced that those making investments in a cultural enterprise will also be exempt from withholding tax on dividend income.
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