Taxation in Bermuda
Hey kiddo! So, you know how you have to pay for the things you want, like toys or candy?
Well, the government of Bermuda has to pay for important things too, like schools, hospitals, and roads. And they get their money from taxes.
Now, in Bermuda, there are two types of taxes that people have to pay: payroll tax and customs duty.
Payroll tax is money that employers take out of their employees’ paychecks and give to the government. The amount of tax taken out depends on how much the employee earns.
Customs duty is a tax that people have to pay when they import things into Bermuda, like clothes or electronics. The government sets a tax rate for each item, and people have to pay that amount in addition to the cost of the item.
But, here's the thing kiddo, even though Bermuda has taxes, it's actually known as a "tax haven" because the tax rates are low compared to other countries.
That's why some companies and rich people choose to do business in Bermuda - they can save money on taxes. But, it’s important to note that the government still needs enough money to run the country, so they rely on taxes to make ends meet.
So, overall, taxes are important for the government to provide important services to the people of Bermuda, even though the tax rates are relatively low.
Well, the government of Bermuda has to pay for important things too, like schools, hospitals, and roads. And they get their money from taxes.
Now, in Bermuda, there are two types of taxes that people have to pay: payroll tax and customs duty.
Payroll tax is money that employers take out of their employees’ paychecks and give to the government. The amount of tax taken out depends on how much the employee earns.
Customs duty is a tax that people have to pay when they import things into Bermuda, like clothes or electronics. The government sets a tax rate for each item, and people have to pay that amount in addition to the cost of the item.
But, here's the thing kiddo, even though Bermuda has taxes, it's actually known as a "tax haven" because the tax rates are low compared to other countries.
That's why some companies and rich people choose to do business in Bermuda - they can save money on taxes. But, it’s important to note that the government still needs enough money to run the country, so they rely on taxes to make ends meet.
So, overall, taxes are important for the government to provide important services to the people of Bermuda, even though the tax rates are relatively low.