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Barbados Spain DTA Entry Into ForceOctober 2011 The double tax treaty, DATA, signed between the two countries on December 1, 2010 entered into force on October 14, 2011 and applyies from that date too. According to the DTA there is zero tax withholding for payments of interest and royalties and 5% (or zero if the holding company's share is more than 25%) for payments of dividend. Barbados V.A.T. HikeDecember 2010 The V.A.T. rate in Barbados increased from 15% to 17.5% effective December 1, 2010. The increase is a temporary measure for 18 months aimed to reduce the fiscal deficit . |
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