Belize: a tax-free paradise
About Belize
Belize, formerly known as British Honduras, is located on the east coast of Central America in the heart of the Caribbean basin, bordered by Mexico to the north, Guatemala to the west and south, and flanked by the Caribbean Sea to the east. At 23,000 square kilometres, Belize is roughly ten times smaller than the UK with a population of just under 330,000. The main population centers are Belize City, the capital, located on the coast, Belmopan in the center of the country, and Corozal in the north, near the border with Mexico.
The climate is subtropical with a very pleasant average annual temperature of 26 degrees Celsius (79 degrees Fahrenheit), and the humidity is tempered by the refreshing sea breeze. However, Belize is located in the hurricane zone of the Caribbean; Hurricane season normally begins in June and lasts through November.
The cays (steep keys), offshore atolls, and the barrier reef are Belize’s main tourist attraction. The barrier reef, which is 185 miles long, is the longest barrier reef in the Western Hemisphere. Cays are islands and/or mangroves, which are located between the mainland and the barrier reef, on the barrier reef, and on or within the barrier reef perimeters of offshore atolls.
Distinguished by their palm trees, the island’s cays provide superior opportunities for scuba diving, snorkeling, fishing, sailing, sailing, windsurfing, and sea kayaking, as well as habitat for both nesting birds Like for turtles.
Belize is something of a racial and cultural melting pot. The ethnic composition is approximately 50% Mestizo (people of both European and Amerindian ancestry), 25% Creole (descendants of African slaves and mainly British foresters), 10% Maya (direct descendants of the pre-colonial population), 6% Garifuna (descendants of from Caribs, Arawaks and West Africans) and 9% others. However, the country is racially harmonious, and although Christianity (both Catholicism and Protestantism) are the dominant religions, other religious beliefs are tolerated.
The British began settling Belize in the 17th century, primarily to log and export tropical hardwoods, particularly mahogany. After a long period of ownership dispute between Spain and England, Belize became a British colony in 1871. The country became self-governing in 1964, and the country’s name was changed from British Honduras to Belize in 1973.
As a consequence of Belize’s historical ties to Great Britain, English is the official language (although Spanish, Creole, Garifuna, and Mayan are widely spoken throughout the country) and the legal system is based on common law. These factors combine to make Belize a particularly suitable destination for retirees from English-speaking countries, especially when it comes to buying property, and it’s no surprise that the country has become home to many British and American expatriates.
Economically, Belize has historically been dependent on sugar, but tourism now contributes substantially to GDP and there is a significant financial services industry. Although the Belizean government has struggled to service high levels of sovereign debt and refinanced its stock of debt just before the financial crisis, the country is economically stable. A longstanding border dispute with neighboring Guatemala aside (which was decided in Belize’s favor by the UN in 1975), Belize is a peaceful country. Crime, particularly gang-related street crime, is a problem, but it tends to be restricted to certain parts of Belize City. There is a low threat of terrorism.
Belize’s currency is the Belizean dollar (BZD), which is pegged against the US dollar at a rate of BZD2 to USD1. Most hotels, resorts, restaurants, and tour operators accept US currency, traveler’s checks, or credit cards. However, in Belize, be sure what dollar you are paying for!
The Belize Qualified Retiree Incentive Program
The Belize Retirement Program was created especially for those people who wish to live in Belize and can demonstrate a permanent and consistent investment income (abroad or in Belize), pension or other retirement benefits.
benefits program
The main benefit of the retirement program is that it exempts qualified retirees from paying all taxes and duties on all income from a source outside of Belize, whether that income is generated from work performed or from an investment.
An additional benefit is that all persons who have been designated as Qualified Retirees are entitled, upon first entry into Belize, to import their personal effects and an “approved means of transportation” free of all import duties and taxes. An approved mode of transportation includes a motor vehicle that is not more than three years old; a light aircraft under 17,000 kg (although aircraft owners must have a valid private pilot’s license); and any vessel used for personal purposes.
Program Requirements and Application Process
Anyone over the age of 45 from anywhere in the world can apply to become a qualified retiree. An eligible person may also include their dependents in the program. Dependents include spouses and children under 18 years of age. However, dependents up to age 23 may be included on an application if they are enrolled in a university.
Each application for the Retirement Program will be processed by the Belize Tourism Board in collaboration with the Ministry of Homeland Security and the Department of Immigration and Nationality.
Individuals interested in the program must submit completed applications to the Belize Tourism Board with the following supporting documentation:
Birth certificate: a copy of the birth certificate of the applicant and each dependent
Marriage Certificate – A marriage certificate if you are married and the spouse is a dependent
Passport: Clear copies of a complete passport (including all blank pages) of the applicant and all dependents, certified by a notary public. The copies must have the passport number, name of the principal, number of pages and the seal or stamp of the Notary Public.
Proof of income: an official statement from a bank or financial institution certifying that the applicant is the beneficiary of a pension or annuity of a minimum of USD2,000 per month; and a financial statement from a financial institution, bank, credit union, or building society in Belize certifying that the applicant’s investment or deposit will generate a minimum of $2,000 per month or the equivalent of $24,000 per year.
Medical Exam: Applicants must undergo a comprehensive medical exam that includes an AIDS test. A copy of the medical certificate must be attached to the application.
Photos – Four recently taken front and four-sided passport size photographs of the applicant and each dependent.
income requirements
As mentioned above, the applicant must be able to demonstrate that they receive a monthly income of not less than USD2,000, and this must be derived from a pension or annuity generated outside of Belize. There are also a number of certification requirements, including that you:
When a business awards a pension, that business has to show that it has been in business for at least 20 years by submitting proof of registration;
The company that grants the pension must certify that the pension of not less than USD2,000 per month will be sent to an accredited financial institution within Belize. This letter must be signed by the manager, president or by a legal representative of the company;
The company that pays the pension must be certified by a Certified Public Accountant independent of the company. To do this, you must verify the date of incorporation of the company and the authenticity of the aforementioned letter. Likewise, it must prove that the obligation subscribed in favor of the beneficiary is of no less than USD 2,000 per month;
The applicant must submit two bank references from the company that sends the pension; and
The company that grants the pension must present a document that describes its pension plan.
However, if the company sending the pension income is considered a Fortune 500 company, it may be exempt from the second, third, and fourth requirements listed above.
All applications are subject to a background check to be carried out by the Ministry of National Security.
Fee
A $150 non-refundable fee must be submitted with the application. An additional fee of USD 1,000 must be paid upon acceptance into the retirement program. There is also a $2,000 fee for the issuance of a Qualified Retiree Green Card. A fee of USD 750 must be paid for each dependent accepted into the program. All of these fees are payable to the Belize Tourism Board and can be paid in cash (US dollars), US bank draft, or US cashier’s check.
More information
Additional information on Belize’s retirement program, as well as other incentives designed to attract foreign investors to the country’s shores, can be found on the Belize Ministry of Tourism and Culture website.