The newly established Corporate Income Tax Agency has contracts and advisory costs totalling more than $15 million so far, an analysis of procurement records by TheRoyal Gazette shows.

The agency is central to administering a 15 per cent corporate tax regime that took effect in January 2025. The investment indicates the scale of the Government’s effort to build tax-collection infrastructure and compliance systems from scratch as the island prepares to collect an estimated $187 million in CIT revenues in this fiscal year.

The spend includes information technology system development, global advisory firms and legal support as Bermuda implements the first corporate income tax in its history in an effort to align with international minimum-tax standards set by the Organisation for Economic Co-operation and Development.

The records were disclosed recently and signed off on by Cheryl-Ann Lister, the chairwoman of the agency’s board and the former acting Financial Secretary.

Government officials have said the agency’s establishment has involved extensive legislative and administrative work, while some business and fiscal experts are pushing for clear reporting on how both the buildout costs and future revenue streams will be managed.

David Burt has stressed that the introduction of the tax was not driven primarily by revenue ambitions, according to comments made to Bermuda Re+ILS. The Premier and Minister of Finance added that the move was intended to ensure Bermuda remains a co-operative and transparent jurisdiction that complies with international standards, while protecting the island’s economic standing.

At the same time, Mr Burt has linked corporate income tax receipts to broader fiscal goals, including debt reduction, reserve building and strategic public investment. In Budget-related commentary, he said projected CIT revenues would support measures such as tax relief, healthcare initiatives and infrastructure, while helping to strengthen the Government’s balance sheet.

According to records, the largest single contract disclosed is a $3.76 million agreement with Data Torque Ltd for the buildout and development of the tax system, reflecting the central role of new digital infrastructure in administering the regime.

Professional services account for the majority of the remaining spend. Contracts with EY, KPMG, PwC and Conyers together total much more than half of the disclosed value, covering agency establishment, tax administration design, legal services and compliance support. EY-related contracts alone exceed $5 million, while KPMG Advisory received $3.38 million for development work.

Other costs include IT-managed services, insurance coverage, system testing, targeted OECD consultancy work, and physical office space and maintenance of the agency’s headquarters at Wellesley House South on Pitts Bay Road. Several of the contracts are listed as ongoing, suggesting that a portion of the costs will continue as the agency shifts from implementation to steady-state operations.

The scale of the buildout comes as debate continues over how corporate income tax revenues should ultimately be used. Mr Burt has acknowledged differences of view with overseas fiscal advisers, including calls for revenues to be tightly ring-fenced for debt reduction, while the Government has argued for flexibility to deploy funds across wider economic and social priorities.