Short answer: Belize property tax is low. Outside cities and towns, owners pay annual land tax of 1% of the land’s unimproved value as set by the government’s valuation schedule. Inside cities and towns, the local council charges property tax under the Towns Property Evaluation Act. Belize has no conventional capital gains tax.
How much is property tax in Belize?
Short answer: For land outside towns, land tax is 1% of the unimproved value, so the building does not raise it. A one-acre beach or caye parcel valued at US$5,000 an acre on the schedule owes about US$50 a year. Town property taxes are set by each council within limits in the law.
Belize splits property taxation between national and local government. The national land tax is collected by the Department of Lands under the Ministry of Natural Resources at 1% of the unimproved value of the land, according to BELTRAIDE and the Ministry of Natural Resources Valuation Unit. Property tax inside cities and towns is levied by the city council or town council, so the rate and bill depend on where you own.
How is land tax calculated?
Short answer: The Valuation Unit applies 1% to the land’s unimproved market value, taken from the Land Tax Act’s Fourth Schedule. That schedule sets a value per acre by district and category, such as agricultural acreage, suburban land, village lots, and beaches and cayes. Improvements such as houses are not part of the unimproved value.
The schedule published by the Ministry of Natural Resources Valuation Unit lists unimproved values per acre. Converted at the fixed BZ$2 = US$1 rate, the main categories are:
| Category (per acre, unimproved) | Corozal & Orange Walk | Cayo | Belize | Stann Creek | Toledo |
|---|---|---|---|---|---|
| Agricultural, 30 acres or less | US$50 | US$50 | US$50 | US$50 | US$25 |
| Agricultural, 31–100 acres | US$250 | US$275 | US$300 | US$250 | US$50 |
| Agricultural, 101–200 acres | US$200 | US$225 | US$250 | US$200 | US$37.50 |
| Agricultural, 201–300 acres | US$175 | US$150 | US$200 | US$175 | US$25 |
| Agricultural, 301+ acres | US$100 | US$75 | US$150 | US$100 | US$25 |
| Suburban | US$500 | US$500 | US$750 | US$350 | US$250 |
| Beaches and cayes | US$5,000 | — | US$5,000 | US$5,000 | US$2,500 |
| Village lot (1 acre or less) | US$500 | US$500 | US$500 | US$500 | US$250 |
Worked examples (1% of unimproved value): a 1-acre beach or caye parcel in Belize District at US$5,000 an acre owes about US$50 a year; 20 acres of agricultural land in Cayo at US$50 an acre (US$1,000) owes about US$10; a village lot in Toledo at US$250 owes about US$2.50. Actual assessments can differ, so confirm the bill for each property.
Land tax or property tax: which applies to you?
The simplest way to tell which tax applies is location. The Land Tax Act defines “towns” to include the cities of Belize and Belmopan, the towns of Corozal, Orange Walk, Dangriga, San Ignacio, Punta Gorda, Benque Viejo del Carmen and San Pedro, and the villages of Caye Caulker, Ambergris Caye and St. George’s Caye, among others the minister may declare (Land Tax Act, Cap. 58). Property inside those areas is taxed by the local council; land elsewhere generally pays national land tax.
Two practical differences follow:
- What is taxed. Land tax looks only at the unimproved value of the land, so building a house outside a town does not raise it. Town property tax can take buildings and occupancy into account, so a rented house in town can pay more than an empty lot.
- Who you pay. Land tax goes to the national government through the Ministry of Natural Resources; town property tax goes to the city or town council that provides local services such as streets and waste collection.
How does town property tax work?
Short answer: Inside towns, councils charge property tax under the Towns Property Evaluation Act. For unoccupied property the rate cannot exceed 2% a year of its value; for occupied property it cannot exceed 12.5% of the annual value. In Belize City the rate is capped at 2% of market value. Bills are due April 1.
The San Pedro Town Council explains that its authority comes from section 19 of the Towns Property Evaluation Act, Cap. 65. The law also lets councils collect the year’s rate in four equal instalments on April 1, July 1, October 1 and January 1, or allow monthly payments, and it adds a penalty on arrears. Each council sets its own assessments, so ask the seller for the latest tax statement and receipt for the property you want and check it with the council.
For example, San Pedro on Ambergris Caye collects property tax through its Property Tax Department, which issues a tax number and a statement before payment. Owners can pay by bank deposit or by card online, according to the council.
When is property tax due in Belize?
Short answer: Town property tax is due on April 1 each year for the following twelve months, and the law allows councils to accept four quarterly instalments or monthly payments. Land tax is billed by the Ministry of Natural Resources. Keep receipts, because a zero-balance tax statement is needed to register any sale.
The Land Registry deed-lodging requirements list a zero-balance tax statement among the documents needed to lodge a deed. In practice that means unpaid tax has to be cleared before a sale can be registered, which protects buyers but can delay closings if a seller has fallen behind.
Paying property tax when you live abroad
Many owners live outside Belize for part or all of the year. Councils such as San Pedro now accept bank deposits and online card payments, and land tax can be paid through the Ministry of Natural Resources. Keep your mailing and email details up to date with the council, set a reminder for April 1, and keep copies of every receipt. If a property manager pays on your behalf, ask for the receipts each year, because unpaid tax and penalties have to be cleared before you can sell.
What taxes do you pay when you buy property?
Short answer: The main purchase tax is stamp duty. Foreign buyers pay 8% on the value above the first US$10,000, charged on the higher of the purchase price or the assessed value; Belizean citizens pay a lower rate. The buyer normally pays it at transfer, along with attorney and registration fees.
Stamp duty is set by the Stamp Duties (Amendment) Act. On a US$300,000 purchase by a foreign buyer it would be 8% of US$290,000, or US$23,200, if the price is not below the assessed value. See Belize closing costs buyers pay and what taxes apply to property buyers for the other costs.
Typical tax bills by property type
Because rates are low and values are set by schedule or council assessment, annual property taxes in Belize are often a small fraction of what owners pay in the US or Canada. Rough illustrations, using the schedule values in the table above:
- Rural acreage. 50 acres of agricultural land in Cayo, valued at US$275 an acre on the schedule (US$13,750), would owe about US$137.50 a year.
- Suburban lot. A one-acre suburban lot in Belize District, valued at US$750, would owe about US$7.50 a year.
- Island lot outside a town. A half-acre caye lot valued at US$5,000 an acre (US$2,500) would owe about US$25 a year.
- Town house or condo. The bill depends on the council’s assessment and on whether the property is occupied. Ask the seller for the last few bills rather than estimating.
Valuations can be updated, and the schedule is only the basis for the tax; it is not a market price. Always confirm the current bill for the specific property with the Ministry of Natural Resources or the council.
Is there capital gains tax on property in Belize?
Short answer: Belize has no conventional capital gains tax on real estate sales, which is one reason buyers find it attractive. Sellers still pay their agent’s commission plus 12.5% GST on that commission, and their own legal fees. Citizens of countries that tax worldwide income, such as the United States, must still report the gain at home.
Owners who rent their property out face other taxes. Short-term rental accommodation must be licensed with the Belize Tourism Board, and a 9% hotel tax applies to room revenue. Income tax and GST registration can apply depending on the size of the business. See short-term rental permits in Belize.
How to check the tax on a property before you buy
- Ask the seller for the most recent land tax or property tax statement and receipt.
- Have your attorney confirm the balance with the Ministry of Natural Resources or the town council during the title search.
- Check which category the land falls into on the valuation schedule, especially for large acreage, where the per-acre values change by size.
- Budget for the year after closing, and make sure the tax account is moved into your name.
Browse homes for sale in Belize or land for sale in Belize, and read our Belize property titles guide before making an offer.
Caveats
Valuation schedules and council rates can change, and individual assessments vary. Treat the figures here as a guide and confirm the actual bill for any property with the Ministry of Natural Resources or the relevant council. All amounts are in US dollars at the fixed BZ$2 = US$1 rate (Central Bank of Belize).
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