Gibraltar Border TaxAugust 2013
The tension between Spain and the UK grew after exposing a plan to impose a new EUR 50 border crossing tax on people crossing each side of the Spain Gibraltar border.
The tax will affect about 30,000 people, travelers and Spanish residents employed in shops and hotels in Gibraltar, crossing the border every day.
The new planned tax follows a month of tension after the building of a new reef by Gibraltar barring the crossing by Spanish boats.
The Spanish foreign minister claimed that the new tax will enable to control the border tightly and curb smuggling.
Gibraltar was transferred to the UK in 1713 under the Utrecht treaty becoming later an important base for the British navy.
Gibraltar has an area of 6.8 square kilometers and an estimated population of 29,000 people.
Internal affairs are governed by Gibraltar while foreign affairs relations are controlled by the UK.
Gibraltar South Africa Tax Information Exchange AgreementFebruary 2012
Gibraltar And South Africa signed a tax exchange agreement, TIEA, a vital function in the fight against tax evasion.
For Gibraltar the new TIEA is its 20th agreement. So far 16 of Gibraltar's TIEAs have entered into force.
Gibraltar Reduced Corporate Tax RatesJuly 2007
According to Gibraltar's new budget, presented at the end of June 2007, there are significant changes regarding mainly Gibraltar's corporate tax rate.
The corporate tax rate for resident companies would be reduced from 35% to 33% in 2007/8, to 30% in the year 2008/09 and to 27% in the year 2009/10.
A new flat corporate tax rate of 10%-12% for all companies, resident and non-resident, is expected by 2010. in 2010, complying with the EU legislation, exempt companies would be phased out.
From 1.7.2007 resident individuals can choose one of the 2 systems, the existing system which includes tax allowances, or the alternative system of paying tax on the gross income, having no allowances.
The tax rates for the gross income are 20%-40%, 40% for income above 100,000 Pounds.
Gibraltar's tax system, which is based on the UK laws, has some significant changes.
In Gibraltar there is no V.A.T. no capital gains tax and no estate duty, gift or inheritance tax.
Gibraltar is a small territory with an area of 8 square kilometers and a population of 28,750 people.
Note: The information in this site is for general guidance only. Users of this site are advised to take professional advice before taking practical tax decisions.
Please read our terms of service before entering this site.