Tax Incentives for Start-Ups

Published on December 15, 2025

Beneficial tax policy for start-up companies in promising sectors

On December 12, 2025, the ‘Decree on Beneficial Tax Policy for the Start-up facility for Profit Tax’ of December 5, 2025, was published by the Minister of Finance, Economic Affairs and Primary Sector in the National Gazette (“Landscourant”) of Aruba.

In this policy decree, a specific ‘start-up facility’ is introduced for companies and their shareholders regarding profit tax and tax on business turnover (BBO/BAVP/BAZV). This facility provides tax support by removing tax obstacles to the start-up of companies in ‘promising sectors’.

The aim of this start-up facility is to strengthen entrepreneurship and innovative power of new companies, specifically within the promising sectors as determined by the Department of Economic Affairs, Trade and Industry (DEZHI).

‘Targeted tax facilities’ in the first five years after incorporation offer relief from financial burdens. It actively stimulates investment, innovation and the development of necessary skills, so that new companies are enabled to build a solid foundation and contribute to sustainable economic growth.

This beneficial start-up facility provides for tax incentives – subject to conditions – for both profit tax and BBO/BAVP/BAZV. In addition, the facility provides for a mitigation of the so-called ‘customary wage scheme’ for wage tax/income tax.

The facility only applies to start-up companies that are established in Aruba on or after January 1, 2026, and that are subject to profit tax pursuant to Article 15, paragraph 2 of the National Ordinance on profit tax, and comply with all terms and conditions. Companies as referred to in the National Ordinance Free Zones 2000 are excluded from this facility.

This decree will enter into force on January 1, 2026. The facilities apply to the first five financial years of the newly created company (referred to in the Decree), as from the date of incorporation.

For more information or any questions you may have concerning the above or whether the beneficial policy can be applied in your situation, please do not hesitate to contact us.