Government will be delivering on a promise to reduce the 16% Value-Added Tax (VAT) but will also be applying the tax to monthly electricity and water bills exceeding $10,000 and $1,500, respectively.
During his presentation of the APNU+AFC administration’s proposed 2017 national budget to the National Assembly yesterday, Finance Minister Winston Jordan announced that VAT would be reduced to 14%.
It was one of several changes to the VAT regime that Jordan said were in keeping with the coalition government’s manifesto promise as well as several recommendations of the Tax Reform Committee and a Caribbean Regional Technical Assistance Centre (CARTAC) study.
