Bermuda Lays Down Welcome Mat For Investors

By Editorial 12 December, 2011

Bermuda's Premier, Paula Cox, has outlined details of the government's Incentive for Job Makers Act 2011, which will ease work permit and residency restrictions for senior management and wealthy investors, a move which is expected to boost Bermuda's appeal as an international financial centre.

Underscoring the importance of Bermuda's international business sector, which accounts for a quarter of the territory's economy, Cox told parliament that it was vital to continue to increase the island's attractiveness to international investors. Against this background, Cox said the Incentive for Job Makers Act 2011 would make it easier for investors to establish operations in the jurisdiction and would boost employment opportunities for Bermudians.

As well as providing concessions for businesses deemed "critical to the economic success of Bermuda", the Act legislates for exemptions from work permit requirements for senior executives of eligible companies.

Under the Act, companies will be granted exemptions for up to five personnel at any one time to cut bureaucracy and boost flexibility for companies. A new body, the Cabinet Committee, will oversee the provision of work permit exemptions. The Bill creates a fee of BMD20,000 (USD20,000) for an application for an exemption from needing a work permit. This fee is consistent with the fee charged for a ten-year work permit.

The Bill also provides for the issue of a permanent resident’s certificate [PRC] to persons that have been exempted from needing a work permit for ten years, and have been ordinarily resident in Bermuda for a period of at least ten years. For investors with existing operations in Bermuda, the 10-year period will be backdated to January 1, 2005, a concession of two years on that previously proposed. This would mean that permanent residency certificates would be available for long-term investors from January 1, 2015, at the earliest. The fee for a PRC has been set at BMD120,000.

Tags: Individuals | Expatriates | Tax | Investment | Business | Entrepreneurs | Employees | International Financial Centres (IFC) | Bermuda | Fees | Offshore | Professionals | Legislation |


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