Key Takeaways
- The Inland Revenue Division is Grenada's tax authority, administering the taxes set out under its legal mandate.
- Registering as a taxpayer and using the IRD's online filing portals are the first practical steps for non-resident owners.
- Knowing the filing and payment calendar helps you avoid the penalties and collection measures the IRD can enforce.
- Taxpayers who disagree with an assessment can pursue objections, appeals and other dispute resolution channels.
Meet the Inland Revenue Division: Grenada's Tax Authority
The tax authority in Grenada is the Inland Revenue Division (IRD), a division within the Ministry of Finance that administers the country's tax laws and collects revenue due to the government. It is the body a foreign-owned company deals with for registration, filing, payment, and any dispute over an assessment. You can review its official guidance through the Inland Revenue Division website before you decide to incorporate or trade.
This article explains what the IRD does, how to register and file, the deadlines and penalties that apply, and what its powers mean for an entity owned from abroad. It is most relevant to non-resident business owners, investors, and the advisers structuring their affairs in the country.
The IRD's Legal Mandate and What It Administers
The IRD is charged with administering the tax laws fairly and collecting a broad set of taxes, licences, and registration fees. It is overseen by a Comptroller of Inland Revenue, who runs day-to-day operations subject to the direction of the Permanent Secretary.
For a foreign owner, the practical point is the range of taxes one office controls. The division assesses and collects personal income tax, corporate tax, general consumption tax through VAT, stamp duty, and several licence fees.
| Tax | Applies to |
|---|---|
| Income Tax | Chargeable income of individuals, companies, and other legal entities |
| Corporate Tax | Company profits |
| Value Added Tax | Supplies at each stage of production and distribution |
| Withholding Tax | Payments to non-residents, at 15% |
| Property Tax | A charge on real property |
| Excise Tax | Imported or manufactured excisable goods |
| Gaming Tax | Gross receipts from gaming facilities |
| Stamp Duty | Documents and transfers |
The governing statutes include the Income Tax Act of 1994, the Value Added Tax Act No. 23 of 2009, and Act No. 37/1998 on the transfer of property. Tax offences and penalties are defined under the Income Tax Act (Chapter 123 of the Laws of Grenada).
The division is undertaking a reform of its processes, staffing, and operational structure, so procedures may continue to modernise.
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Registering as a Taxpayer with the Inland Revenue Division
Every individual and business that registers with the tax authority receives a Tax Identification Number (TIN). The number is permanent and unique, and you must quote it in all correspondence with the IRD.
Registration runs through the G-TAX system: you select "Request New TIN," complete the application, upload the required documents, and submit. Staff vet the documents and follow up if more information is needed.
A point that affects foreign owners directly: as of 2024, individuals registering for the first time may need to visit the main office in person to complete the process. A company can avoid this friction by appointing an authorised representative.
A non-resident may appoint a lawyer, accountant, customs broker, or tax professional through a letter of authorisation to the IRD. That representative can register the business, access all accounts, make enquiries, and update records on your behalf.
VAT registration is mandatory once annual taxable supplies exceed EC$300,000. A promoter or proprietor of public entertainment must register for VAT regardless of turnover.
A company is tax resident if it is registered in Grenada or has its head office there. An individual becomes resident by spending more than 183 days per year in the country.
Mandatory income-tax filers include corporations, trustees, sole traders, partners in partnerships, and employees earning more than EC$3,000 monthly or EC$36,000 a year.
Online Services and Electronic Filing Portals
G-TAX is the IRD's digital tax system and the main channel a non-resident will use. It is accessible at tax.gov.gd, where existing taxpayers can complete onboarding or request a new TIN by email or post.
The portal supports a wide set of actions:
- Register and obtain a TIN
- File returns and pay taxes online
- View current obligations, licences, and account details
- Register as a representative and update account information
- Request refunds and tax clearance certificates
- Raise a tax objection
G-TAX rolled out in two phases. Phase 1, from January 2024, covered businesses for three monthly taxes, namely VAT, PAYE, and CIT Instalment; Phase 2, planned for the fourth quarter of 2024, was set to add all tax types and a full package of services for individuals and property owners.
The system came out of the country's Digital Governance for Resilience project and replaces the legacy platform. If another person or firm files on your behalf, a proxy form must be completed and submitted to the division.
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The Filing and Payment Calendar in Grenada
Three taxes run on a monthly cycle through G-TAX: Corporate Income Tax Instalment, Value Added Tax, and Pay As You Earn. Businesses have been able to file and pay these online since 22 January 2024.
Income tax returns fall due within 90 days after the end of the accounting period. Records must be kept for seven years after the end of the relevant tax period.
| Item | Figure |
|---|---|
| Income tax return | Within 90 days after accounting period end |
| Late-filing penalty | EC$100 or 10% of unpaid tax, whichever is greater |
| Late-payment interest | 1.5% per month or part thereof |
| Record retention | 7 years |
| VAT registration threshold | EC$300,000 annual taxable supplies |
A full published calendar of every annual due date by tax type is not available in public guidance. Confirm specific dates directly with the IRD or through the VAT page and the G-TAX portal.
How the IRD Issues Assessments
Chargeable income for a year of assessment is the aggregate of assessable income from the sources specified in the Income Tax Act. Assessing taxes and managing non-compliance is a core function of the division.
If you disagree with an assessment, you have 30 days from the date of the notice to lodge a written objection, or such further time as the Comptroller may allow for good cause.
Where a return is not filed or is incomplete, the Comptroller holds statutory authority to raise an assessment. The precise mechanism for default or estimated assessments is not set out in detail in public guidance.
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Audit Powers and Taxpayer Examinations
The tax authority can audit a business, review its financial records, and gather evidence of non-compliance or fraud. This is why the seven-year record-keeping rule matters: all accounts and documents must be kept in Grenada for that period after the tax period to which they relate.
Where an investigation uncovers wrongdoing, the IRD may refer the matter to the Director of Public Prosecutions. The DPP has discretion to bring proceedings in the High Court of Grenada.
Published guidance does not specify the statutory sections on rights of entry or the distinction between desk and field audits. Audit authority flows from the primary statutes, the Income Tax Act (Chapter 123) and the VAT Act 23/2009.
Enforcement, Penalties and Collection Measures
Late filing draws a civil penalty of EC$100 or 10% of the unpaid tax, whichever is greater. Unpaid balances accrue interest at 1.5% per month or part thereof.
Civil penalties can arise from negligence, overstated deductions, late reporting, inaccurate information, or intentional fraud. For fraud, the consequences are severe and combine monetary fines based on the tax evaded, imprisonment for a period set by the court, and seizure of assets obtained through fraudulent means.
There is a sharper edge for cross-border reporting. Failure to comply with an IRD information request under the FATCA implementation legislation is a summary offence punishable by a fine not exceeding USD 100,000.
Tax, penalty, or interest may be recovered as though no objection or appeal had been lodged. Filing a return and requesting a payment arrangement is the practical route if you cannot settle in full.
Objections, Appeals and Dispute Resolution
Disputes follow a three-stage path. The first stage is a written objection to the Comptroller within 30 days of the assessment notice; the Comptroller considers any valid objection and notifies the decision in writing.
If you remain aggrieved, you may appeal to the Appeal Commissioners. On hearing the appeal, they may confirm, increase, or reduce the assessment, or make any other order they see fit.
The final stage is the High Court. Either side may appeal a decision of the Appeal Commissioners that involves a question of law, including mixed fact and law.
VAT disputes follow the same shape under the VAT Act: a written objection to the Comptroller, then an appeal to the Appeal Commissioners if the decision under Section 106 still leaves you aggrieved. An objection can also be raised directly through the G-TAX portal. The procedure is described in the Ministry of Finance income tax guide.
Public guidance does not set out fixed timelines for the Comptroller to respond or for the Appeal Commissioners to hear a case.
Contacting the IRD: Offices and Channels
The main office is on Young Street, St. George's. Tax can be paid there or at any district revenue office, with cheques payable to the Government of Grenada.
- Main telephone: +1 (473) 440-3556 / 435-6945/46
- Fax: +1 (473) 440-6621
- District revenue offices: Sauteurs (St. Patrick), Grenville (St. Andrew), Gouyave (St. John), Victoria (St. Mark)
- Website: ird.gd
- G-TAX portal: tax.gov.gd
- Ministry of Finance: finance.gd
What This Means for Non-Resident Owners
The tax scope is territorial. If you earn income outside the country, no Grenada tax is due; the obligation arises only when you buy property, register a yacht or car, start a company, or earn income inside the country.
When income is earned locally, a non-resident faces a 15% rate. Withholding tax of 15% applies when a resident pays dividends or similar income to a non-resident, and a foreigner selling property pays 15% transfer tax against 5% for citizens.
Several taxes simply do not exist here. There are no capital gains, inheritance, or wealth taxes, and no tax on worldwide income.
Treaty coverage is limited. There are double tax treaties with the UK and CARICOM members, but none with the United States, so a US investor's Grenada income could be taxed in full in both countries at once.
| Framework | Status |
|---|---|
| CRS | Adopted; reporting began 2018 to 100+ countries |
| FATCA | Agreement signed with the US in 2016 |
| FATCA model | Model 1B IGA (non-reciprocal); FFIs report to the IRD, which reports to the IRS |
| FATCA reporting threshold | Accounts and assets above USD 50,000 |
Two practical duties carry across borders. You can appoint an authorised representative to deal with the IRD on your behalf, and you must keep records for seven years even where your only connection is Grenada-sourced income. The international position is set out on the IRD FATCA and CRS page.
Conclusion
The Inland Revenue Division is the single body a foreign-owned entity deals with across income tax, VAT, withholding, and property charges, and its move to G-TAX makes registration and filing manageable from abroad through an authorised representative. The territorial scope, the absence of capital gains and inheritance taxes, and the 15% non-resident rate shape most planning decisions, while the lack of a US treaty and the CRS and FATCA reporting obligations deserve attention before you commit. Keep records for seven years, watch the 90-day return window and 30-day objection deadline, and confirm specific due dates with the division directly. Handled in order, compliance here is straightforward for a non-resident owner.
How Expanship Can Help Your Business in Grenada
Expanship handles dealings with the Inland Revenue Division on your behalf, from obtaining a TIN and registering for the right taxes to filing returns through G-TAX and responding to assessments, and supports the wider needs of a foreign-owned entity in the country.
- Company formation and structuring for non-resident owners
- Registered agent and registered office services
- Tax registration, including TIN and VAT, with the IRD
- Ongoing filing and compliance management across tax types
- Accounting and bookkeeping, including seven-year record retention
- Introductions to banking partners
To discuss your situation, contact Expanship Grenada.
Frequently Asked Questions
The Inland Revenue Division, a division within the Ministry of Finance, administers the tax laws and collects revenue. It is led by a Comptroller of Inland Revenue and is the office you deal with for registration, filing, payment, and disputes.
No. The tax scope is territorial, so income earned outside the country is not taxed, and the obligation arises only when you start a local company, earn income locally, buy property, or register a vehicle or yacht. Once any of those triggers applies, you must register with the IRD and obtain a TIN.
You can appoint an authorised representative, such as a lawyer, accountant, or tax professional, through a letter of authorisation to the IRD. That person can register the business, access accounts, file, and deal with the division on your behalf, and routine work is handled online through the G-TAX portal at tax.gov.gd.
A non-resident earning local income is taxed at 15%, and withholding tax of 15% applies to payments such as dividends made by a resident to a non-resident. A foreigner selling property pays 15% transfer tax, while there are no capital gains, inheritance, or wealth taxes.
You have 30 days from the date of the notice of assessment to lodge a written objection with the Comptroller, or longer if the Comptroller allows for good cause. Note that collection is not automatically paused while a dispute is pending, so a payment arrangement may be advisable.
Yes. It adopted the Common Reporting Standard and began reporting in 2018 to more than 100 countries, and it signed a FATCA agreement with the United States in 2016 under a Model 1B arrangement, with reporting on accounts and assets above USD 50,000. There is no double tax treaty with the United States, so US investors should plan for the risk of double taxation.
Legal Disclaimer
The information provided in this article is for general informational purposes only and does not constitute legal, tax, or professional advice. While we strive to ensure the accuracy and timeliness of the content, laws and regulations are subject to change, and the application of laws can vary widely based on specific facts and circumstances.
Readers should not act upon this information without seeking professional counsel tailored to their individual situation. Expanship and its authors disclaim any liability for actions taken or not taken based on the content of this article.
For specific advice regarding your business setup, compliance requirements, or any legal matters, please consult with qualified legal and tax professionals in the relevant jurisdiction.
