Personal tax scope before the announced 2027 change

Presence and other residence connections

The Act includes at least 183 days of presence in the basis period, permanent abode with some presence, and continuous presence linked to an immediately preceding or succeeding year qualifying under the day test. Accepted education, medical, government-duty or other reasonable absence can preserve the permanent-abode basis during a full period abroad.

Resident worldwide-income baseline

Section 8 generally includes a resident's non-exempt income from sources inside and outside Dominica. The IRD FAQ also explains the worldwide baseline, subject to statutory exemptions and applicable treaty allocations. Citizenship alone is not the residence test and does not establish a foreign-income exemption.

Residents who are not ordinarily resident

For a resident individual who is not ordinarily resident, foreign-source income is included only to the extent received in Dominica. Ordinary residence is tied to the permanent-abode limb of the statutory residence definition; it is not automatically established by the 183-day alternative.

Nonresident domestic income remains taxable

Nonresidents are charged on non-exempt Dominican-source income. Section 7(5) routes covered income other than employment or business into withholding rather than ordinary assessable income. The IRD distinguishes nonresident business income from categories such as property rental, management charges and independent services collected through withholding.

Treaty allocations qualify the general rule

The IRD explains that overseas income is not taxable in Dominica when an applicable double-taxation agreement makes it exclusively taxable in the other country. This is a treaty-specific exception, not a general rule that foreign tax payment or nationality automatically removes Dominican liability.