Caribbean Countries With the Lowest Taxes: 2025 Guide for Investors
When it comes to smart investing, one of the most important factors global and diaspora investors look at is taxation. The Caribbean has long been a magnet for entrepreneurs, real estate buyers, and families seeking not only sun-kissed beaches and a vibrant lifestyle, but also financial efficiency. With several Caribbean nations offering low or even zero personal income tax, the region presents unique opportunities for those exploring Caribbean investment opportunities.
This guide explores the Caribbean countries with the lowest taxes in 2025 and why these destinations continue to attract investors looking for growth, stability, and global mobility.
Cayman Islands: A Global Financial Hub
The Cayman Islands is one of the most tax-efficient jurisdictions in the world. Investors enjoy no income tax, corporate tax, capital gains tax, or inheritance tax. The territory is home to a thriving financial services industry and is widely recognized as one of the leading offshore banking centers. For investors seeking stability and flexibility, Cayman remains a top choice.
The Bahamas: Zero Income and Capital Gains Taxes
The Bahamas is another well-known jurisdiction for investors seeking favorable tax regimes. There are no income, wealth, inheritance, or capital gains taxes. Instead, government revenue comes primarily from VAT, property taxes, and import duties. The Bahamas also offers a strong tourism economy and proximity to the U.S., making it especially attractive to North American investors.
Turks and Caicos: No Personal or Corporate Taxes
Turks and Caicos operates a similar low-tax framework, with no personal income tax, corporate tax, or capital gains tax. The government relies on customs duties and tourism revenues. For investors, this translates into straightforward tax planning and attractive real estate options, especially in the luxury beachfront property sector.
Antigua & Barbuda: Tax Efficiency + Citizenship Programs
Antigua & Barbuda offers no personal income tax, capital gains tax, or dividend taxes, while applying corporate tax only to domestic earnings. What sets Antigua apart is its Citizenship by Investment Program (CIP), which allows qualified investors to secure citizenship through property purchases starting at around $200,000. For those seeking both lifestyle and tax efficiency, Antigua offers a compelling combination.
St. Kitts & Nevis: The Pioneer of Citizenship by Investment
St. Kitts & Nevis is best known as the first country to launch a Citizenship by Investment program, but it is also a low-tax jurisdiction. There is no personal income tax for foreigners, and investors often combine real estate purchases with the benefits of global mobility that citizenship provides.
Why Low Taxes Strengthen Caribbean Investment Opportunities
High Rental Yields
Caribbean real estate offers annual rental yields of around 3–5%, especially in year-round tourist destinations.
Capital Appreciation
Property values are on the rise, supported by strong tourism and foreign demand.
Citizenship by Investment Programs
Nations like Antigua, Grenada, and Dominica allow investors to gain citizenship through real estate, combining tax efficiency with global mobility.
Foreign Ownership
Many Caribbean nations allow 100% foreign ownership and protect investor rights under the law, creating a secure environment for international investors.
Key Markets to Watch
Turks and Caicos – Luxury beachfront villas and resorts continue to attract global buyers.
Dominican Republic – Offers growth potential in both tourism and urban real estate.
Grenada & Dominica – Popular for government-approved projects tied to citizenship programs.
Cayman Islands & Bahamas – Consistently strong luxury and offshore investment destinations.
Puerto Rico & Jamaica – Growing recognition as attractive markets for diaspora and international buyers.
Renewable Energy: A Complementary Opportunity
Alongside real estate, renewable energy is emerging as a major driver of Caribbean investment. With abundant sunshine, strong winds, and ambitious regional targets for clean energy, the sector offers long-term growth and resilience. For investors, this represents both impact and financial opportunity.
What to Consider Before Investing
Tourism Dependence: The Caribbean economy is heavily tied to tourism, which can impact property values and rental demand.
Investment Thresholds: Citizenship programs typically start at $200,000 for property investments.
Residency vs. Tax Residency: Securing citizenship does not automatically make you a tax resident. It’s important to understand local rules and how they interact with your home country’s tax laws.
Conclusion
With countries like the Cayman Islands, Bahamas, Turks and Caicos, Antigua & Barbuda, and St. Kitts & Nevis offering some of the lowest taxes in the world, the Caribbean stands out as a prime destination for investors. Whether you are exploring Caribbean real estate investment, looking into citizenship by investment programs, or simply assessing global growth markets, the region offers both lifestyle and financial advantages.
While no article can replace professional financial or legal advice, one thing is clear: the Caribbean continues to provide unique investment opportunities where tax efficiency, market growth, and global mobility meet. For more on investing Caribbean, connect with us today.