For years, tax reform has been a topic of discussion in Sint Maarten, but despite plans being on the table since 2015, real implementation has yet to take place. The delay in much-needed changes is harming the island’s economy and business climate. With increasing regional competition and outdated tax structures, Sint Maarten risks losing its appeal as a destination for investment and entrepreneurship.
To understand the urgency of tax reform, it’s important to compare Sint Maarten’s tax system with those of neighboring islands within and outside the Kingdom.
Sint Maarten, on the other hand, still relies heavily on a complicated and outdated tax structure, which includes profit tax, wage tax, turnover tax (TOT), and various other levies. This system creates administrative burdens for businesses and discourages foreign investment.
One potential solution for Sint Maarten is adopting a system similar to that of the BES Islands. This would involve:
The lack of tax reform creates uncertainty for businesses, limits economic growth, and keeps Sint Maarten at a competitive disadvantage. Without change, companies may look elsewhere for more stable and business-friendly environments.
At HaVen – Audit, Accounting & Consultancy, we believe that proactive tax policies are essential for a thriving economy. If you are a business owner or investor in Sint Maarten, now is the time to prepare for possible reforms and structure your affairs accordingly.
📌 Want to explore how tax changes could impact you? Get in touch with our team for expert advice tailored to your situation.
Let’s build a stronger, more competitive Sint Maarten together!
Founder & Director
Erik van Engelen, RA
vanengelen@havensxm.com
+1721 534 2833
The Central Bank of Curaçao and Sint Maarten (CBCS) continues to strengthen its supervision of regulated financial institutions in Curaçao and Sint Maarten. Recent circulars issued by the CBCS show a clear trend toward stricter monitoring of compliance obligations, including the timely submission of annual financial statements and regulatory reports.
Closing a company is more than simply stopping business activities. Even if a company is no longer operating, it remains a legal entity until it has been formally dissolved and properly deregistered with all relevant authorities.
The government of Sint Maarten is preparing to introduce a 10% dividend withholding tax, with a proposed effective date of January 1, 2026. While the legislation is still pending final approval, it is already in an advanced stage—and the potential impact for local and international investors is significant.
We take pride in our dual focus.
For years, tax reform has been a topic of discussion in Sint Maarten, but despite plans being on the table since 2015, real implementation has yet to take place. The delay in much-needed changes is harming the island’s economy and business climate.
For years, many business owners in Sint Maarten have utilized a Tax Exempt Company (TEC) as a holding structure for their operating companies. However, this widely used tax benefit is coming to an end. The previous government revoked the TEC status, and as of December 31, 2024, it is no longer possible to set up a TEC.
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Phone: +1721 524 2833
Email: info@havensxm.com
