Land Tax
Land tax must be paid on every acre or part of an acre of land you own in the BVI. You pay house tax based on the assessed value of your house.
There are certain exemptions in which property tax is not required to be paid. These are:
- Crown property used exclusively for public purposes.
- Any hospital, asylum or other institution maintained out of the revenues of the territory.
- Any property owned by a religious denomination and set apart and used solely for divine service and set apart and used as a residence for ministers of religion.
- Community Centers.
- Property used as or in connection with the schoolhouse or any school under the provision of the Education Act, 2004.
- Any property lawfully used as a burial ground or cemetery.
- Any right of way or easement.
If you own the house and somebody else owns the land on which your house is built or vice versa, you will have to pay the taxes on your house and the owner of the land will have to pay the tax on the land. If you co-own the property with others, each of the co-owners will be responsible or liable for the full amount of the tax.
If you own property jointly with an expatriate, and the expatriate owns more than 1/3 of the property, the property shall be regarded as owned by an expatriate and will be taxed accordingly.
Land is classified and taxed according to whether it is owned by a British Virgin Islander, a BVI company, or an expatriate:
- If a BVIslander or a BVI company owns the land, the tax is $10 per year on the first acre or part acre plus $3 per year for each acre after that.
- If the land is owned by an expatriate, for a half acre or less, the tax is $50 per year and, for greater than a half acre, but less than one acre, the tax is $150 per year. Any additional acre or part of an acre is taxed at $50 per year.
House Tax
House tax is charged at the rate of one and a half (1½) percent per year on the assessed income value of the house.
If you build a new house or make any adjustments to your existing house, you must notify the Inland Revenue Department so they can do an assessment. An assessment is done on the notional annual income value or an amount of money not more than you can reasonably expect to get in rent each year for the property.
Property Assessment List
Every year, about two months before the collection of tax, the Inland Revenue Department prepares a property assessment list. The assessment list contains particulars, such as names, location or place, type of construction, usage, acreage, and the amount of tax due.
You may view a property assessment list at the following locations:
- Inland Revenue Department at the Central Administration Complex on Tortola.
- Inland Revenue Department at the Vanterpool Administration Complex on Virgin Gorda.
- At the Post Office and sub post offices throughout the BVI.
If you are in disagreement with an assessment, you or your agent may file an objection against it to the Magistrate. The Magistrate will conduct a hearing and will confirm, alter or amend the assessment list as is necessary.
When is your Property Tax due?
You must pay your property tax between September 1 and November 30 every year.
Where do you pay your Property Tax?
You can pay your property tax at the following locations:
- Inland Revenue Department at the Central Administration Complex on Tortola.
- Inland Revenue Department at the Vanterpool Administration Complex on Virgin Gorda.
- At your District Office, if your property is in Anegada or Jost Van Dyke.
If you fail to pay your property tax by 1st December, you will have to pay the amount owed plus an additional amount calculated at 20% per annum on the outstanding amount. After 31st December, the Commissioner of Inland Revenue may sue you in the Magistrate’s Court for arrears on property tax.
Are you renting property to others?
Do you know that if you are renting property to others for a fee, you are considered self-employed? If you are renting property to others for a fee, such as an apartment building or an apartment in your house, you are considered self-employed and must register for a Payroll Tax Account and pay your payroll tax.