Payroll Tax Amendment and Validation Act 2026
Passed
Simplified for You
What this bill does
This bill reduces payroll tax rates across the board and creates new tax breaks for specific groups. It also fixes a problem where tax benefits for Bermudian musicians and entertainers expired but people kept applying them anyway.
If Passed (Voted Yes)
Most employers and employees will pay less payroll tax, with the standard employer rate dropping from 10.25% to 9.75%
Bermudians aged 65+ won't pay payroll tax on their first $24,000 of yearly earnings (excluding bonuses)
Qualifying employers can get tax relief for hiring new full-time workers between April 2026 and March 2028
Self-employed caregivers and licensed residential care homes get reduced or zero tax rates
If Rejected (Voted No)
Current payroll tax rates stay the same, meaning higher taxes for most workers and businesses
Older Bermudian workers continue paying full payroll tax on all their earnings
No new hiring incentives for businesses to create jobs
The legal confusion around musician/entertainer tax benefits remains unresolved
Who It Affects
This affects nearly all working Bermudians and local businesses, with the biggest benefits going to older Bermudian workers, caregivers, hospitality businesses, and companies that hire new employees. Musicians and entertainers who have been applying expired tax benefits will have their situation legally clarified.
Vote counts are not published.
The Bermuda Parliament does not publicly record individual vote counts or how each member voted.
Write to your MP about this