Barbados Reduces Personal Income Tax Rates from 2026 and Increases Income Limit for Compensatory Income Credit from 2025

The Barbados Revenue Authority (BRA) issued two policy notes on 20 April 2026 concerning a reduction in the personal income tax rates from income year 2026 and an increase in the income limit for the compensatory income credit from income year 2025. Both measures were part of the budgetary proposals for 2026.

---

Personal Income Tax Rate Reduction – Income Year 2026

The Barbados Revenue Authority (BRA) advises that effective Income Year 2026, personal income tax rates for individuals hav…