If your business will be earning 100 percent of its income in foreign currency, you are entitled to receive a foreign currency permit (FCP).
The benefits of holding a foreign currency permit are:
- exemption from exchange control
- exemption from property transfer taxes on transfers of shares or quotas
- and other concessions for specially qualified individuals.
The application form for a foreign currency permit can be downloaded here.
Requirements for a foreign currency permit:
- An FCP remains valid for 12 months unless cancelled or revoked by the Director of International Business
- Your FCP must be renewed annually as follows: for companies incorporated between January 1 and June 30 – no later than June 30; for companies incorporated between July 1 and December 31 – no later than December 31
- There is an annual renewal fee of US$500 to be paid. If this is not paid within three business days of the renewal date, your FCP will automatically expire
- A declaration by a director/manager has to be filed with the Ministry of International Business and Industry, on or before the renewal date, certifying that a corporation tax return for the previous year has been filed with the Barbados Revenue Authority, and confirming that 100 percent of the income earned was in foreign currency
- As an FCP holder, you must retain a Corporate and Trust Service provider duly licensed under the Corporate and Trust Service Providers Act.
The International Business Unit (Ministry of International Business and Industry) provides further information on applying for a foreign currency permit. All the relevant FCP forms and documents can be downloaded here.