Cayman Scraps Expat Tax
The Cayman Islands has scrapped plans to impose an income tax on foreign workers just two weeks after Premier McKeeva Bush, outlined plans for what he described as a “Community Enhancement Fee” to be charged at 10 percent of the remuneration paid to foreign work permit holders.
Following discussions with local business leaders, Bush said on Monday that alternative revenue sources had been identified.
“The tax would be taken off the table if robust, credible and sustainable revenue that did not hurt the poorest members of our islands was found.
The new revenue proposals are expected to be identified at a public meeting on Wednesday.
Several industry associations released statements opposing the tax, and the private sector Cayman Finance Association said the government has not done enough to rein in government spending to justify a measure such as a payroll tax.