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- Basic Facts
- Statutory Labor Requirements
- Employee Income Tax In Brazil
- Employee Social Security In Brazil
- Deductible Expenses In Brazil
- Immigration In Brazil
- Value Added Tax (VAT) In Brazil
- Withholding Tax In Brazil
- Terminating Employee In Brazil
- Statutory Employee Benefits In Brazil
- Payroll In Brazil
- Business Opportunities In Brazil Section
- Why Use Global Expansion To Hire Your Employees In Brazil
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BASIC COUNTRY FACTS
Saint Lucia
Castries.lc
- English
- Saint Lucian Creole
- French
181,889
Eastern Caribbean dollar
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+758
Eastern Caribbean dollar
STATUTORY LABOR REQUIREMENTS
Probation Period
- A new employee may be required to serve a probationary period of not more than twelve weeks or a shorter or longer period of time agreed to between the employer and the employee.
Annual Leave
- Employees who have worked for 5 years are entitled to 14 days of paid annual leave
- Employees who have worked for more than 5 years are entitled to 21 days of annual leave
Public Holidays
- New Year's Day (1st January)
- Independence Day (22nd February)
- Good Friday (10th April)
- Easter Monday (13th April)
- Labor Day (1st May)
- Whit Monday (1st June)
- Corpus Christi (11th June)
- Emancipation Day (of Saint Lucia) (1st August)
- Thanksgiving (5th October)
- National Day (13th December)
- Christmas Day )25th December)
Maternity Leave
- Female employees are entitled to thirteen weeks of maternity leave and such leave shall, except in the case of premature delivery, be comprised of
-
- at least six weeks before confinement; and
- at least six weeks after confinement unless the employee chooses to return to work before that time
Paternity Leave
- Paternity leave grants eligible employees up to five (5) days of paid leave following the birth of his child, or upon the initial placement or legal adoption of a child under age 18.
Sick Leave
- The employer agrees to pay full wages for the first three (3) days of absence from work, provided that a medical certificate is presented on the third day, and provided that the employee who is sick and unable to report to work shall be obliged to make every reasonable effort to notify, in whatever way possible, his/her foreman or supervisor on the first day of absence.
Work Hours
- An employer shall not require any employee to work for more than forty hours during any week, excluding overtime.
Overtime
- An employer shall pay to an employee who works overtime an amount calculated at a rate of not less than one and one-half times the wage for each hour in respect of the overtime worked, or twice the wage for each hour in respect of the overtime worked on a Sunday, public holiday or, in respect of a shift worker, the worker’s day off.
Notice Period
- A contract without reference to limit of time, except during the probationary period, may be terminated by the employer upon giving to the employee the following minimum periods of notice in writing
-
- one week’s notice if the period of continuous employment is more than twelve weeks but less than two years;
- two weeks’ notice if the period of continuous employment is two years or more but less than five years;
- four weeks’ notice if the period of continuous employment is five years or more but less than ten years; and
- six weeks’ notice if the period of continuous employment is more than ten years.
Severance
- On termination of employment due to redundancy an employee who has completed no less than two years of continuous employment with his or her employer is entitled to be paid by the employer redundancy pay equivalent to
-
- one week’s basic pay for each completed year of service up to the first three years;
- two weeks’ basic pay for each completed year of service in excess of three years and up to seven years; or
- three weeks’ basic pay for each completed year of service in excess of seven years of service.
13th Month Salary in Brazil
- No
- There is no statutory requirement to pay the 13th or the 14th month salary.
- There is no evidence that it is customary to give bonuses.
INCOME TAX
- Saint Lucia income tax is imposed on the following:
-
- Income of an individual who is resident or ordinarily resident in Saint Lucia that accrues to the individual directly or indirectly from all sources whether in or outside Saint Lucia.
- Income of an individual who is a resident, but is not ordinarily resident in Saint Lucia, that accrues to the individual directly or indirectly from all sources in Saint Lucia and income accrued from sources outside Saint Lucia to the extent that the income is remitted to Saint Lucia.
- Income arising in Saint Lucia to a non-resident and income accrued from sources outside Saint Lucia to a non-resident to the extent that the income is received in Saint Lucia.
- Tax rates on chargeable income are as follows.
|
Taxable income (XCD) |
Tax on column 1 (XCD) |
Tax on excess (%) |
|
|
Over |
Not over |
||
|
0 |
10,000 |
- |
10 |
|
10,001 |
20,000 |
1,000 |
15 |
|
20,000 |
30,000 |
2,500 |
20 |
|
30,001 |
and above |
4,500 |
30 |
DEDUCTIBLE EXPENSES
Personal Allowances and Deductions
- In determining chargeable income, a resident individual, upon due claim, is allowed the following deductions:
|
Allowances and deductions |
XCD |
|
Personal allowance |
18,000 |
|
Personal allowance (pensioners) |
24,000 |
|
Spouse allowance |
1,500 |
|
Maintenance or alimony (under court order) |
Actual |
|
Child allowances |
1,000 to 2,000 |
|
Deduction for higher education |
5,000 |
|
Deduction for life insurance, other retirement benefits: |
|
|
Premiums paid in Saint Lucia |
8,000 |
|
Premiums paid outside Saint Lucia |
3,000 |
|
Allowance for housekeeper (maintenance or relative) |
200 |
|
Allowance for dependent relative |
350 |
|
Owner-occupied property: |
|
|
Mortgage interest (maximum) |
18,000 |
|
Property taxes |
Actual |
|
Insurance premiums |
Actual |
|
Upkeep and maintenance |
Up to 10,000 |
|
Purchase and installation of a new solar water heating system |
Up to 6,500 |
|
Donations to charitable, religious, educational institutions (under deed of covenant for at least three years) |
Actual |
|
Medical expenses |
Actual |
|
Purchase of shares in building or cooperative societies |
Up to 5,000 |
|
Investment in a Registered Home Ownership Plan |
Up to 6,000 |
|
Interest on a student loan |
Up to 3,000 |
|
Purchase of new shares in a resident public company |
Up to 5,000 |
IMMIGRATION
- Visitors to Saint Lucia must obtain a visa unless they come from one of the visa exempt countries or countries that can obtain a visa on arrival.
- Cruise ship passengers visiting Saint Lucia for one day are exempted from obtaining visas.
- Foreign nationals from some countries intending to visit Saint Lucia for business, pleasure or study are required to have a valid passport from their country and to obtain a valid Saint Lucian visa.
- The following documents are necessary for a non-immigrant visa: -
-
- 2 certified passport size photographs
- A valid passport for up to six months
- A return ticket to port of origin
- Copy of travel itinerary
- Proof of hotel/private accommodation
- Letter of invitation (if invited by friend or relative with 2 certified passport size photographs)
- Foreigners seeking employment in Saint Lucia must obtain a work permit
- Before an Application for a Work Permit can be obtained a non- refundable fee of one hundred dollars ($100.00) is to be paid to the Accountant General at the Government Treasury.
- Payment is acceptable upon presentation of the necessary “A” Form duly completed by the Work Permit Officer.
- The Treasury Receipt is addressed to the Work Permit Officer who will then issue the Application.
- Documents to be attached to the application are as follows:
-
- A Police record from the country where the applicant last resided
- Certified documentary proof of qualifications
- Trade License (where applicable)
- Copies of advertisements for the posts
- Evidence that income tax has been paid
- One (1) passport size photograph
|
Type of Visa/Permit |
Documents |
Validity |
Eligibility |
|
Work Permit |
|
Varies |
|
|
Non-Immigrant Visa |
|
N/A |
|
VALUE ADDED TAX
- The standard VAT rate is 12.5%.
- There is also a 0% rate charged on certain goods and services.
- In respect of the hotel sector and related services, a reduced rate of 10% applies.
|
VAT |
|
|
Standard Rate |
12.5% |
|
Reduced Rate |
10% |
|
Zero Rate |
0% |
WITHHOLDING TAX
Dividends
- St. Lucia does not levy withholding tax on dividends
Interest
- The withholding tax on interest paid to a resident is 10%
- The rate is 15% if paid to a resident of CARICOM and 25% to nonresidents
Royalties
- The withholding tax on royalties paid to a resident is 10%
- The rate is 15% if paid to a resident of CARICOM and 25% to nonresidents
Fees for Technical Services
- The withholding tax on technical service fees paid to a resident is 10%
- The rate is 15% if the fees are paid to a resident of CARICOM and 25% if paid to other nonresidents
|
Type of Payment |
Residents |
Nonresidents |
||
|
Company |
Individual |
Company |
Individual |
|
|
Dividends |
0% |
0% |
0% |
0% |
|
Interest |
10% |
10% |
15%/25% |
15%/25% |
|
Royalties |
10% |
10% |
15%/25% |
15%/25% |
|
Fees for technical services |
10% |
10% |
15%/25% |
15%/25% |
TERMINATION
- An employer is entitled to dismiss, summarily without notice, an employee who is guilty of serious misconduct of such a nature that it would be unreasonable to require the employer to continue the employment relationship.
- Serious misconduct includes but is not limited to
- willful disobedience of lawful orders given by the employer;
- repeated substantial neglect of duties;
- repeated absence from work without the permission of the employer or without reasonable excuse;
- refusing to follow health and safety measures instituted at work thereby endangering the health and safety of employees or members of the public;
- theft or willful damage of property of the employer or another employee at the work place; or
- conduct inconsistent with the fulfillment of the expressed or implied terms of the employee’s contract of employment.
- A contract without reference to limit of time, except during the probationary period, may be terminated by the employer upon giving to the employee the following minimum periods of notice in writing
- one week’s notice if the period of continuous employment is more than twelve weeks but less than two years;
- two weeks’ notice if the period of continuous employment is two years or more but less than five years;
- four weeks’ notice if the period of continuous employment is five years or more but less than ten years; and
- six weeks’ notice if the period of continuous employment is more than ten years.
- On termination of employment due to redundancy an employee who has completed no less than two years of continuous employment with his or her employer is entitled to be paid by the employer redundancy pay equivalent to
- one week’s basic pay for each completed year of service up to the first three years;
- two weeks’ basic pay for each completed year of service in excess of three years and up to seven years; or
- three weeks’ basic pay for each completed year of service in excess of seven years of service.
STATUTORY BENEFITS
- These are mandatory benefits as postulated by law
- These include probationary period, annual leave, public holidays, sick leave, maternity leave, paternity leave, overtime pay, notice period, and severance pay
- Statutory benefits also include social security benefits
|
Statutory Benefits |
|
Probationary Period |
|
Annual Leave |
|
Public Holidays |
|
Maternity Leave |
|
Paternity Leave |
|
Sick Leave |
|
Overtime Pay |
|
Notice Period |
|
Severance Pay |
|
Social Security Benefits |
PAYMENTS AND INVOICING
- The tax year in Saint Lucia is the calendar year.
- Individuals with taxable income in excess of XCD 18,000 in any calendar year have to file a personal income tax (PIT) return by 31 March in the following year.
- Separate PIT returns are required from married persons where the other spouse has taxable income.
- There is withholding of tax from salaries (pay-as-you-earn or PAYE) based on tax codes obtained when employees register with the Inland Revenue Department.
- Tax withheld by employers is paid to the Inland Revenue on a monthly basis.
- Self-employed persons and individuals in partnerships are required to pay instalments by 25 March, 25 June, and 25 September.
- Any additional tax due is payable with the PIT return by 31 March in the following year.
