Saint Kitts and Nevis is a country in the Caribbean Sea. It consists of two islands, with the capital city Basseterre. The official language is English, and the official currency is the East Caribbean dollar (XCD). Most of the country's economy was dependent on the agriculture sector, mostly the sugar industry. However, in recent times, tourism has taken the lead role since the government invested heavily in this sector. You can carry on business in St. Kitts & Nevis as a sole trader, a partnership, a limited partnership, or a company limited by shares. In this article, we will focus on sole traders since it is the most common business form in this country.
Disclaimer: Be aware that this article is not a substitute for legal advice. Please always check official websites or seek legal advice before you take action.
Sole Trader in St. Kitts and Nevis
A sole trader is a business formed and owned by an individual. This business form is easy to establish and run, unlike other forms. The law does not distinguish the business from its owner. Being run by only one person, this form is flexible to the changing business environment. You can make decisions easier and take actions instantly. The liability of a sole trader is unlimited, which means that you are responsible for all the assets and debts of your business, and you're operating it with all your fortune.
The registration process of a sole trader in St. Kitts and Nevis
Sole traders are required to have a business license before they start conducting business. To apply for the license, you have to visit the Ministry of Finance, located at Golden Rock, Basseterre. Ask for the Business Licence Application, fill it out and submit. Don't forget to bring an ID document or a passport.
Depending on the type of license you're applying for, there may be further requirements. For example, if you're looking to operate a restaurant, a health officer will need to examine the premises and surrounding environment before the license is granted. In addition, there will be periodic checks to ensure that the premises remain sanitary and all the health codes are being followed.
Here you can see the list of business types and their fees.
If everything is in order, you will be noticed by the Ministry of Finance or the Inland Revenue Department. Then you should once again visit the IRL to pay the registration fee and officially register your business. Upon registration, you will obtain a Business and Occupation Licence Certificate and a Tax Identification Number (TIN). This document should be displayed at the business place of operation, and make sure you keep it safe.
The Business and Occupation licenses must be renewed by the 31st of January each year.
While you're at the IRD, you can also apply for Unincorporated Business Tax (UBT) registration.
You may also ask for an e-services registration form, which will be useful later while operating a business.