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BASSETERRE, St. Kitts, October 31, 2019 (Press Unit in the Office of the Prime Minister) – The Dr. the Honourable Timothy Harris-led Government of St. Kitts and Nevis is ensuring that citizens and residents truly enjoy the upcoming Christmas and Carnival seasons by once again approving several major duty concessions on food, gift packages and passenger allowances for the month of December.

Additionally, Cabinet has approved the allocation of two Discounted VAT Rate days in December 2019. The allotted days will be announced at a future date after consultation between the Ministry of Finance and the Chamber of Industry and Commerce.

Traditionally on Discounted VAT Rate Days, all VAT registered businesses are allowed to charge VAT at a rate of 5 percent on the sale of goods only and all tangible items that are presently subject to 17 percent VAT qualify for the discounted VAT rate. Furthermore, for vehicle purchases, VAT is exempt on the first EC$50,000, with VAT at the standard 17 percent charged thereafter.

From December 01 to 31, 2019, gift packages of foodstuff up to 400 pounds in weight will be allowed free of duty and taxes, and travelers and non-commercial importers will receive a duty-free allowance of EC$540 or US$200 off the Cost, Insurance and Freight (CIF) value of goods.

This is further good news, which promises a particularly joyous holiday season, as Prime Minister Harris has already announced that his Team Unity administration will pay a bonus salary in December 2019—marking the fourth consecutive year the Government will be making such payment.

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