Gibraltar will introduce a Transaction Tax under the UK-EU agreement, replacing import duties and aligning its indirect tax regime with the EU. The provisional implementation starts on 15 July 2026, with rates rising to 16% in 2027 and 17% in 2028, while a 5% reduced rate and zero rate apply to specific goods.
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Key Takeaways
From 15 July 2026, Gibraltar's provisional Transaction Tax takes effect for all imported commercial goods.
From 15 July 2026 the standard rate is 15%; from 1 January 2027 it rises to 16%; from 1 January 2028 it rises to 17%.
From 15 July 2026 a reduced rate of 5% and a zero rate apply to specific product categories.
From 15 July 2026 the tax is calculated on the customs value, which includes product value, freight, insurance, and packaging, and varies by product category and import route.
The Transaction Tax, introduced under the UK-EU agreement, replaces import duties in Gibraltar from 15 July 2026.
Primary source
Read the full article at 1stopVATThis summary was published on VATfaqs.com on 14 July 2026. The original source is 1stopVAT.
