Curaçao’s Social and Economic Council issues opinion on Minimum Tax Bill

WILLEMSTAD, May 20, 2025 — On Monday, May 19, the Social and Economic Council of Curaçao (SER) submitted a formal advisory opinion to Minister of Finance Javier Silvania, currently serving in a caretaker capacity, concerning the draft National Ordinance on Minimum Taxation for 2025. The bill seeks to implement a 15 percent effective minimum tax on the profits of group entities within multinational enterprises that generate a global annual revenue of at least €750 million. The legislation aligns Curaçao with the international commitments established under Pillar Two of the Inclusive Framework of the Organization for Economic Co-operation and Development (OECD).

The draft ordinance was first announced in late 2024 and formally submitted to Parliament (the Staten) in December 2024, where lawmakers approved the Minister’s intention to proceed with the legislative process. With the issuance of the SER’s opinion, the measure enters its next procedural phase. Parliamentary approval remains required. If adopted, the law will enter into force retroactively as of January 1, 2025.

The proposed measure is intended to safeguard Curaçao’s corporate tax base by preventing revenue from shifting to jurisdictions that have already enacted top-up tax regimes. At the same time, it represents the country’s alignment with broader global efforts to curb harmful tax competition and strengthen fiscal transparency.

The SER deliberately opted for a phased and methodical approach in formulating its advice, citing the growing geopolitical volatility surrounding international tax policy. In particular, the Council referenced the fiscal posture of the United States under President Donald J. Trump, who returned to office in January 2025. The current U.S. administration has signaled strong opposition to global tax provisions it deems extraterritorial or discriminatory toward American companies.

Should U.S. authorities unfavorably view the tax proposal, Curaçao could face retaliatory tax measures, especially if American multinationals are adversely affected by the new regime. Against this backdrop, the Council placed specific emphasis on diplomatic positioning, implementation strategy, and legal viability. While affirming the importance of modernizing Curaçao’s tax framework, the SER also underscored the need for policy flexibility—should shifting international conditions warrant recalibration.