DISCOUNTED VAT RATE PERIOD ON CABINET AGENDA, SAYS PM HARRIS

By: Staff Writer

The Federal Government is expected to begin discussions on the Discounted VAT (Value Added Tax) Rate period for 2020.

The discounted rate from the 17 percent VAT is usually offered in December as a seasonal stimulus for the economy.

Prime Minister Dr. the Honourable Timothy Harris in response to a question by a caller about VAT Days during the October 06, 2020, edition of Leadership Matters said: we will give it some consideration.”

Due to the ongoing economic and social fallout of the COVID-19 global pandemic, cash flows for the government is limited.

Nevertheless, the prime minister said that he would allow formal discussions on a reduced VAT rate at the next Cabinet meeting slated for Monday (October 12).

I want to advise that we are in a difficult time where cash flows are limited and therefore the kind of benefits that we would have offered in a season of high inflows would not normally and could not be prudently be made available.

Prime Minister Harris

In 2019, nationals and non-no nationals enjoyed two Discounted VAT Rate Days in 2019. On both days, December 13 and 21, the VAT rate offered was five percent.