New Stamp Duty Rates - May 2010 | Print |
Turks & Caicos Real Estate

With effect from May 7th 2010 TCI Government significantly reduced transfer tax/duty payable on most real estate transactions in the islands.  In addition to the reduced transaction costs purchasers may now either: (a) pay the amount due in equal installments over a 4 year period, or; (b) take advantage of a futher 10% reduction in duty by paying the entire amount at the front end (i.e. within 30 days of the date of the transfer).

The following table sets out the stamp duty rate applicable on transfers of real estate on the islands of Providenciales, Pine Cay, Parrot Cay, West Caicos, Ambergris Cay:

Property Value Stamp Duty Rate

Payable Annually 
 (over 4 years)

$0 - $25,000


-
 

 -
$25,000 - $500,000 4% (3.6% if paid up front) 


1%

$500,000 - $1,500,000
6% (5.4% if paid up front)


1.5%


$1,500,000 - $3,000,000
 8% (7.2% if paid up front) 2%


$3,000,000+

 10% (9% if paid up front) 2.5%

Note 1 - to encourage more equal economic development through the islands the "Applicable Stamp Duty Rate" on the islands of Grand Turk, Salt Cay, North Caicos, Middle Caicos, South Caicos and East Caicos is 50% less than shown above.

Note 2 - Where a purchaser pays duty over 4 years a restriction is placed on title to prevent disposition of the property until the entire duty is paid.  

Prior to this amendment the stamp duty payable on a $1 million condo on Grace Bay (by way of example) would have been $97,500.  Now the duty payable would be as little as $54,000 if the duty is paid at the front end.  When combined with significant reductions in listing prices over the past 12 months this creates a very interesting opportunity for prospective purchasers.

Turks & Caicos Property
May 2010