Moving to Sint Maarten / St-Martin in 2026

The only island shared by two countries, where a twenty-minute drive north can change your tax bill by fifty points. The Dutch 10% retiree regime, the residency routes, and the deadline that voids it.

Sint Maarten and Saint-Martin share 87 square kilometres and almost nothing else. The southern half belongs to the Kingdom of the Netherlands. The northern half is France, and therefore the European Union. You can drive across the border without noticing it, and people do, daily. What does not cross the border is your tax status, your residence permit, or your healthcare entitlement. For anyone moving here, choosing a side is not a lifestyle preference. It is the single largest financial decision of the move.

Dutch south or French north: the fifty-point question

The Dutch side levies no property tax, no capital gains tax, and no inheritance tax, with income tax on a progressive scale topping out near 47.5%. The French side runs on French law: income tax to 45%, plus social charges of about 17.2% on top, a wealth tax on property above €1.3M, and EU VAT.

Twenty minutes of driving separates the top and bottom bars. That is the whole story of this island in one picture, and it is why the overwhelming majority of relocating retirees choose the Dutch side. Note also that a residence permit on one side grants you nothing on the other, so pick before you sign a lease.

The Penshonado regime, and the deadline that voids it

The draw is legitimate and government-sanctioned: qualifying retirees pay a flat 10% instead of a scale that otherwise reaches about 47.5%. To qualify you must be 50 or older (or have a spouse or registered partner who is), you must have lived outside Sint Maarten for at least 60 consecutive months beforehand, and you must register with the Tax Inspector within two months of entering the population register.

Be careful with what you read elsewhere on this. Advisory firms publishing on Penshonado disagree on whether the 10% applies to total worldwide gross income or only to foreign-source income, and at least one asserts an additional requirement to transfer US$400,000 into the country. Those are not small discrepancies, and most of the firms publishing them are selling the service. Confirm the current rules with the Belastingdienst Sint Maarten directly, or pay an independent adviser who is not also your agent.

One point that catches Americans in particular: US citizens and green-card holders are taxed by the IRS on worldwide income regardless of where they live. Penshonado reduces your Sint Maarten liability. It does not make you tax-free.

Getting residency on the Dutch side

Unlike much of the Caribbean, Sint Maarten does not ask you to buy government bonds or donate to a fund. It looks at income, property, and presence.

• AVVR, the financially independent route: stable income of at least ANG 150,000 a year plus qualifying property. Renewable in one to three year terms.
• Investor: the same roughly US$250,000 real estate minimum, at any age.
• Managing Director: establish a local company. US citizens get a smoother path here through the Dutch-American Friendship Treaty. Permanent residence follows after five years.

Most Western nationals can enter visa free for 90 days in any 180 to scout the island, which is the right way to start. That stay establishes nothing legally, so do not let a real estate agent tell you otherwise.

What it costs, and why

This is one of the pricier bases in the region: roughly $3,000 to $4,500 a month for a single person living comfortably. A one-bedroom runs $900 to $1,400. Almost everything arrives by ship or plane, so groceries, building materials, and especially cars carry heavy import duties. Budget for the car separately and expect to pay well above US sticker.

The upside of the price is real. The island is 20 minutes end to end, the US dollar circulates freely on the Dutch side, English is spoken everywhere, and you are three to four hours from most East Coast hubs.

Medical care on a two-country island

Both halves have hospitals: the St. Maarten Medical Center in the south and a full French facility in the north, which is a genuine advantage over most islands this size. Complex care still means flying, usually to Puerto Rico, Miami, Martinique, or the Netherlands. Private international insurance runs about $300 to $600 a month and should include evacuation cover.

Where people settle

Cupecoy, Simpson Bay, and Indigo Bay on the Dutch side are the established, secure residential areas and hold most of the expat market. The French side is quieter, more residential, and more French in every sense, including the paperwork.

Air access recovered impressively. Hurricane Irma destroyed the Princess Juliana terminal in 2017, and the rebuild took seven years through a pandemic and several changes of leadership before the reconstructed terminal fully reopened in November 2024. Traffic climbed from 1.6 million passengers in 2024 to about 1.8 million in 2025, against a design capacity of 2.5 million. The famous approach over Maho Beach survived the rebuild.

Is Sint Maarten right for you?

• Strong fit if: you are over 50 with foreign income and can meet the Penshonado conditions on time, or you run a business and want a US-dollar, English-speaking base three hours from Miami.
• Think hard if: you would end up a French-side tax resident on a high income, you need a low cost of living, or you cannot commit US$250,000 to property inside 18 months.

The honest summary is that this island rewards preparation more than most. Get the side right, get the dates right, and it is one of the better tax and lifestyle combinations in the Caribbean. Get them wrong and you will have paid resort prices for a retroactive tax bill.

Frequently asked questions