The Cabinet led by Gaston Browne has agreed to increase the Antigua and Barbuda Sales Tax by 2% after several hours of discussion today.
The new measure will result in residents paying an ABST of 17%, which is 2% higher than the current 15%.
Prime Minister Gaston Browne confirmed that the Ministry of Finance recommended this change, and the Cabinet agreed to it.
Despite this increase, Antigua and Barbuda’s tax levels remain among the lowest in the Organization of Eastern Caribbean States (OECS).
The tax-to-GDP ratio in the country is currently 16%, which is significantly lower than the regional average of 24%.
The decision to increase the sales tax was made to ensure that the government can meet its obligation to increase the salaries and wages of public sector workers and pay off the outstanding amounts owed to local suppliers and contractors.
The United Progressive Party is against the imminent measure and have called for residents to protest against it.
Y doesn’t Cabinet not stopthe drain on the Treasury and the waste of taxpayers’ monies by returning the Alpha Nero to its owners?
The 2% increase is to maintain the UWI Five Island Campus and Alpha Nero.