Aruba Tax Rates
Aruba is a constituent country of the Kingdom of the Netherlands with a progressive tax system. Personal income tax rates range from 7% to 52%, making it one of the higher-taxed Caribbean jurisdictions. Corporate tax is 25%, and a turnover tax (BBO/BAVP/BAZV) of 7% applies. Aruba's economy is heavily dependent on tourism, and the tax system reflects Dutch influences.
Top Income Tax Rate
52%
Corporate Tax Rate
25%
VAT / Sales Tax
7%
Capital Gains Tax
25%
Detailed Tax Information
Income Tax Brackets
Aruba imposes a progressive personal income tax with five brackets from 7% to 52%. Residents are taxed on worldwide income. Non-residents are taxed on Aruban-source income. The high top rate reflects Aruba's comprehensive social welfare system.
| Income Range | Tax Rate |
|---|---|
| ƒ0 – ƒ35K | 7% |
| ƒ35K – ƒ66K | 16% |
| ƒ66K – ƒ147K | 25% |
| ƒ147K – ƒ295K | 33% |
| ƒ295K+ | 52% |
Corporate Tax
Aruba imposes a 25% corporate income tax. Free zone companies may benefit from reduced rates. The corporate tax rate was reduced from 28% to 25% as part of fiscal reforms.
Standard Rate
25%
Capital Gains Tax
Capital gains in Aruba are generally included in taxable business income and taxed at the corporate rate (25%) or individual progressive rates. A participation exemption exists for qualifying shareholdings.
Rate
25%
VAT / Sales Tax
Aruba levies a combined turnover tax of approximately 7% (BBO 1.5%, BAVP 3%, BAZV 2.5%) on goods and services. This functions as a cascade tax rather than a true VAT. Exports are generally exempt.
Standard Rate
7%
Cryptocurrency Tax
Aruba does not have specific cryptocurrency legislation. Crypto gains would be subject to general income or corporate tax rules.
Tax Treaties
Aruba has limited tax treaties. The BRK (Tax Arrangement for the Kingdom of the Netherlands) governs the tax relationship with the Netherlands. A treaty with the UK also exists.
Treaty Network
2
Double taxation agreements
Major treaty partners:
Key Details
Relocate to Aruba
See how much you could save by moving here from your current country.
$-4,563
Tax in United States
$24K
24.4% effective
Tax in Aruba
$29K
28.9% effective
Additional Cost
18.7%
more tax annually
US Citizens: Important Note
US citizens are taxed on worldwide income regardless of residence. You'll still need to file US taxes, though the Foreign Earned Income Exclusion and Foreign Tax Credit may reduce your liability.
