- Seychelles Alters Tax Exemption For 13th Month Income 15th May 2017
The Seychelles Government has recently published legislation in the Official Gazette to amend the territory’s individual tax regime.
The Income and Non-Monetary Benefits Tax Act (Exemption) Order, 2017, published in the Official Gazette on April 13, 2017, sets the value of 13th month pay that an employee can receive tax-free at SCR10,000 (USD733).
Payments in excess of this amount will be subject to tax at 15 percent.
- Seychelles Extends Reach Of Tourism Marketing Tax 31st March 2017
In a statement published on March 16, the Seychelles Revenue Commission announced the extension of the Tourism Marketing Tax (TMT) to casino operators and Class 1 building contractors (with annual turnover in excess of SCR1m (USD74,271)).
The TMT is currently payable at a rate of 0.50 percent on monthly turnover. In addition to the newly announced categories of business to face the TMT with effect from March 1, the following types of businesses are subject to the tax: hotels and guest houses, cafes and restaurants, air and ferry transportation services, car hire operators, boat or yacht charterers, dive center and water sports operators, tour operators, travel agents, and equestrian operators.
Additionally, all banks, insurance firms (with the exeception of insurance brokers) and telecommunications service providers are subject to the levy, which was first introduced by the Tourism Marketing Tax Act, 2013.
- Seychelles Again Delays Individual Income Tax Changes 20th February 2017
In his State of the Nation Address on February 14, President Seychelles’ Danny Faure announced that the implementation of a progressive personal income tax regime will be delayed to January 1, 2018.
Under the new regime, a SCR8,555.50 (USD630) tax-exempt threshold will be introduced, but will not be available to expatriates. Income tax above that threshold will be subject to progressive rates of either 15 percent, 20 percent, or 30 percent.
Its introduction had already been delayed to July 1, 2017, rather than January 1, 2017, in the 2017 Budget announced last December. The further six-month delay, according to the President, is down to “more preparation” being necessary.
He also disclosed that, within its continuing policy to reduce the cost of living in Seychelles, the Government will revise the list of goods which will not be subject to value-added tax. The revised list, which will include new products, will be published as from March 1 this year.