Sri Lanka vs Barbados
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ฑ๐ฐ Sri Lanka โ Provincial & Local Authority Taxes
Sri Lanka's 9 provincial councils have some tax powers including turnover tax, certain business taxes, and stamp duties within their provinces. Local authorities (municipal councils, urban councils, pradeshiya sabhas) levy property tax (Assessment rate) at 25% of annual value and various service fees. The Inland Revenue Department (IRD) administers national taxes. Sri Lanka went through a severe debt crisis in 2022โ23; significant IMF-backed tax reforms dramatically raised income tax rates and broadened the tax base.
๐ง๐ง Barbados โ Parish Councils & Land Tax
Barbados's 11 parishes have parish councils that levy land tax at 0.1%โ0.7% of site value. Barbados has long been a significant international business and financial centre, particularly for Canadian companies. Major tax reform in 2019 aligned Barbados with OECD BEPS standards. A tiered corporate tax rate structure was introduced. Barbados was removed from the EU tax haven blacklist following these reforms and maintains competitiveness as an IFC.
Sri Lanka vs Barbados: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฑ๐ฐ Sri Lanka has a higher top income tax rate (6โ36% vs 12.5โ28.5%). ๐ง๐ง Barbados is more favourable for high earners.
๐ VAT/Sales Tax: Both countries have comparable consumption tax rates (18% vs 17.5%).
๐ข Corporate Tax: ๐ง๐ง Barbados offers a lower corporate rate (9% vs 30%), which can influence business location decisions.
๐ Capital Gains: ๐ง๐ง Barbados taxes investment gains at a lower rate (0% vs 10%), benefiting investors.