The Cayman Islands enjoys a lack of direct taxation. A primary source of government income however is the levying of a one-time stamp duty on real estate transactions. This duty, depending on location, generally ranges between 4% and 7.5% and payment is required just prior to the purchase being recorded on the Land Register. The duty is calculated based on the purchase price but all chattels (furnishings) are deducted. There is no property tax, no income tax, no capital gains tax and no inheritance tax in the Cayman Islands.
