Grenada Tax Residency Guide: 183-Day Rule, DTTs 2026

Q: Can I be resident in Grenada and another country?

Yes. Dual residency is possible. The applicable DTT's tie-breaker clause determines which country has primary taxing rights based on permanent home, center of vital interests, habitual abode, and nationality.

Q: What happens if I spend less than 183 days in Grenada?

You are generally a non-resident and taxed only on Grenada-source income. CIP applicants may still be considered residents under program terms.

Grenada determines tax residency based primarily on the 183-day physical presence test. Individuals present in Grenada for 183 days or more in a calendar year are considered tax residents and taxed on worldwide income. Grenada has double taxation treaties with CARICOM member states. Here is how tax residency works in 2026.

Tax residency in Grenada is governed by the Income Tax Act and determines an individual's or company's obligation to pay tax on worldwide versus Grenada-source income. The rules follow Commonwealth Caribbean tax principles. The Inland Revenue Division (IRD) is responsible for determining residency status and issuing Certificates of Residency for treaty purposes. Personal income tax →

Real-world example: A digital nomad spends 200 days in Grenada and 165 days in their home country. Since they exceed the 183-day threshold in Grenada, they become a Grenadian tax resident and are taxable on worldwide income. Their home country may also consider them resident — the applicable DTT (if any) is used to resolve dual residency via tie-breaker rules. Filing requirements for residents →

Individual Tax Residency Criteria

183-day rule: An individual is resident if present in Grenada for 183 days or more in any calendar year
Permanent home: If an individual has a permanent home available in Grenada, they may be resident even if present for fewer than 183 days
Habitual abode: If no clear permanent home, the habitual abode and center of vital interests test applies
CIP residents: Individuals obtaining residency through the Citizenship by Investment Program are considered tax residents

Grenadian tax residents are taxed on worldwide income. Non-residents are taxed only on Grenada-source income. The tax year is the calendar year.

Corporate Tax Residency

Place of incorporation: A company is resident in Grenada if it is incorporated under Grenadian law
Place of effective management: A company is also resident if its place of effective management is in Grenada, even if incorporated elsewhere
Permanent establishment: Non-resident companies with a PE in Grenada are taxed on PE-attributable income

Corporate residency determines whether a company is taxed on worldwide income (resident) or only Grenada-source income (non-resident with PE).

Double Taxation Treaties

Grenada has double taxation treaties primarily with CARICOM member states under the CARICOM Double Taxation Agreement (CARICOM DTA). Key treaty partners include:

CARICOM members: Barbados, Trinidad & Tobago, Jamaica, Guyana, Belize, St. Lucia, St. Vincent & the Grenadines, Antigua & Barbuda, Dominica, St. Kitts & Nevis, Montserrat, Bahamas, Suriname, Haiti
Other treaties: Grenada has a limited network of bilateral DTTs beyond CARICOM

The CARICOM DTA follows the OECD Model Convention and provides for: reduced withholding tax rates on dividends, interest, and royalties; elimination of double taxation; and mutual agreement procedures. Grenada is expanding its treaty network to attract investment.

Certificate of Residency

A Certificate of Tax Residency can be obtained from the Inland Revenue Division to prove Grenadian tax residency for treaty purposes. The certificate is typically issued for a specific tax year. The application requires: tax identification number (TIN), proof of physical presence (for individuals), and confirmation of tax filings. Processing time is typically 5-10 business days.

Can I be resident in Grenada and another country?

Yes, dual residency is possible. The applicable DTT's tie-breaker clause determines which country has primary taxing rights. The tie-breaker tests are applied in order: permanent home, center of vital interests, habitual abode, and nationality. The country where you are not treaty-resident may still tax you on local-source income.

What happens if I spend less than 183 days in Grenada?

If you spend fewer than 183 days in Grenada and do not have a permanent home or center of vital interests in Grenada, you are generally a non-resident. You are taxed only on Grenada-source income. CIP applicants who do not meet the 183-day threshold may still be considered residents for tax purposes under the program terms.