Gibraltar Tax Position Explained

Gibraltar is a fully whitelisted international business jurisdiction recognised for its transparent legal system, stable governance and long-standing application of English common law. It is neither a secrecy jurisdiction nor a transient low-tax experiment. 

Gibraltar’s tax system is based on statute, clarity and territorial principles that have been consistently applied for many years.

At the core of Gibraltar’s appeal is its territorial tax regime. Under Gibraltar law, companies are subject to 0% corporation tax on income that does not arise in or derive from Gibraltar.

Corporation tax is only chargeable where profits are generated from activities physically carried out within Gibraltar itself. This distinction is fundamental and clearly embedded in Gibraltar’s legislative framework.

This means that internationally focused businesses using a Gibraltar company for global trading, consultancy, licensing or cross-border commercial activities can operate within a jurisdiction where non-Gibraltar income falls outside the charge to Gibraltar corporation tax.

There is no VAT, no capital gains tax and no tax on dividends. These features are not incentives or concessions but structural elements of Gibraltar’s tax system.

The territorial basis of taxation is set out in legislation, including the Income Tax Act 2010, which provides certainty and predictability for businesses operating internationally. Unlike regimes that rely on discretionary rulings or time-limited reliefs, Gibraltar’s approach is rules-based and transparent, allowing companies to plan with confidence over the long term.

Gibraltar is internationally recognised as a whitelisted jurisdiction, compliant with OECD standards and accepted by the UK, EU institutions and global financial counterparties. 

It maintains a robust regulatory environment with mandatory requirements for Gibraltar companies to have a locally based registered office and company secretary provided by regulated corporate service providers. This ensures proper governance, oversight and substance within the jurisdiction.

The result is a mature and sophisticated business environment that balances compliance with commercial practicality. Gibraltar supports a highly developed professional services ecosystem, including corporate administration, legal services and regulated intermediaries, making it a centre of business excellence rather than a jurisdiction built on opacity or artificial tax engineering.

Gibraltar Corporate Partners promotes Gibraltar as a compliant international business destination and acts as a specialist introducer and facilitator for non-resident Gibraltar company structures.

We work exclusively with regulated Gibraltar-based partners to ensure that companies are properly incorporated, administered and aligned with Gibraltar’s legal and regulatory framework, including the provision of the mandatory Gibraltar registered office and company secretary.

Our role is clearly defined. Gibraltar Corporate Partners does not provide tax advice or regulated services directly. Instead, we guide internationally focused businesses toward properly structured, well governed Gibraltar companies that operate within the rules and stand up to scrutiny. 

This clarity of role is central to our approach and to Gibraltar’s reputation as a serious, credible jurisdiction.

For businesses trading internationally, Gibraltar offers a rare combination of advantages: 0% corporation tax on non-Gibraltar income, a whitelisted status, statutory certainty and a reputation as a centre of business excellence

This is why Gibraltar continues to attract entrepreneurs, consultants, IP owners and internationally mobile businesses seeking stability, credibility and long-term confidence in their corporate structures.

Gibraltar Tax FAQ's

Is Gibraltar a tax haven?

No. Gibraltar is a fully whitelisted jurisdiction with a transparent legal and regulatory framework. It complies with OECD standards, applies English common law and operates a statutory territorial tax system rather than secrecy-based or artificial tax arrangements.

Why is corporation tax 0% for non-Gibraltar income?

Gibraltar applies a territorial basis of taxation. Under this system, income is only taxable if it arises in or derives from Gibraltar. Income generated from activities carried out outside Gibraltar falls outside the charge to Gibraltar corporation tax.

Is Gibraltar’s tax system temporary or incentive-based?

No. Gibraltar’s territorial tax system is embedded in statute, including the Income Tax Act 2010. It is not a time-limited incentive, concession or special regime, but a permanent feature of Gibraltar law.

Does Gibraltar require local substance?

Yes. All Gibraltar companies must maintain a Gibraltar registered office and company secretary provided by regulated local service providers. This ensures proper governance, oversight and regulatory compliance within the jurisdiction.

Is Gibraltar recognised internationally?

Yes. Gibraltar is recognised by the UK, EU institutions and international counterparties as a legitimate and compliant business jurisdiction. It is widely used for international trading, consultancy and cross-border commercial activities.

What is the role of Gibraltar Corporate Partners?

Gibraltar Corporate Partners acts as an introducer and facilitator, promoting Gibraltar as a compliant international business jurisdiction and working with regulated Gibraltar-based partners to establish and administer non-resident Gibraltar company structures, including the mandatory registered office and company secretary.