Haiti tax reform may increase net income for some public officials

New tax regulations in Haiti, introduced via a decree replacing the December 19, 2022, Tax Code, are expected to increase the disposable income of certain public officials. According to the Ministry of Economy and Finance (MEF), the reform modifies income tax brackets and withholding rates.

The reform expands the first income tax bracket, raising its upper limit from 60,000 to 360,000 gourdes per year. While the withholding rate on non-salary remuneration, such as bonuses, will increase from 10% to 15%, the MEF notes that the reduction in tax on base salaries may offset this increase.

Simulations conducted by the MEF on four specialized members of the Haitian National Police (PNH) showed a net monthly gain ranging between 2,168 and 3,076 gourdes. These simulations assumed constant remuneration and focused on agents with monthly salaries between 39,200 and 47,200 gourdes, supplemented by monthly bonuses and debit card benefits.