St Kitts and Nevis announces 5% Off discounted VAT Days on August 16-17

St Kitts and Nevis has announced two discounted VAT days for August 2024. As per reports, from August 16 to 17, the public can take the benefit of about “5 percent” off on the Value Added Tax, making certain things much more affordable.  

 To avail the benefits to the nationals, the Government of is reminded the people and businesses to advantage.  

 The Value Added Tax (VAT) Rate Days are released under the ‘Back-to-School Discounted VAT Rate Days.’ For these two days, there will be lower VAT standard rates to be charged to the customers and businesses. 

 As per the information, eligible tangible items that are presently subject to 17% VAT will qualify for the discount on the Discounted VAT Rate Days with the reduced interest rate of 5%.  

The authorities have announced the application deadline for this as August 12, 2024. And the list of taxpayers registered who will participate in the discounted VAT Rate Days will be announced on August 14, 2024. 

As the eligible items are subjected to the discount, the exceptions introduced are- 

• Vehicles 
• Guns 
• Ammunition 
• Cigarettes 

 Alcoholic beverages such as Wine, Brandy, Vodka, whiskey, Gin, Rum, Liqueurs, Cordials, Beer, Gunness, Royal Stout, Shandy Carib, and Smirnoff ice are also exempted. 

 “Non- Tangible items such as the Supply of Professional services will continue to be subject to the 17% VAT Rate,” mentioned St. Kitts and Nevis Inland Revenue Department. 

 The list of non- exceptions is announced considering this, which is as follows- 

• Rent 
• Legal Fees 
• Restaurant Supplies 
• Top-Ups 
• Phone Cards 
• Tickets for the Game of Chance (Lottery/Raffles) 

 The Government is encouraging businesses and customers to actively participate in these Discounted VAT Rate Days. It is not for the first time that St. Kitts and Nevis has come up with such an opportunity for the nationals. 

 Although, it is committed to the growth and development of it. Such an act committed towards stimulating economic activity.  

 The Christmas Discounted VAT Rate Days are also announced on December 13 and December 21, 2024 (Friday and Saturday). Considerably, vehicle sales will be included for the December Discounted VAT Rate Days.  

 Moreover, citizens can also take advantage of the temporary concessions on school supplies and air-cooling devices from July 1 to September 30, 2024.  

 During this period, the air-cooling devices will be exempted from Import Duty, VAT and CSC with the eligible air-cooling devices.  

 The eligible devices for this are defined as Air conditioning units with the BTU strength of 24000 or less, fans (standing, ceiling, wall mounted, table etc.) and evaporative coolers. 

 Notably, while announcing the continuation of special initiative in 2024 – Discounted VAT Rate Days, the Prime Minister, Dr. Terrance Drew highlighted of the idea of an administration to offer benefits to the citizens.  

 He even added that this initiative will not only support household budgets but will also stimulate the local economy. 

 This initiative aims at providing financial relief to the citizens, will as well boost economic activity amid the ongoing global inflation.  

 By designation four specific days under two categories as Bach-to-School Discounted VAT Rate Days and Christmas Discounted VAT Rate Days, the government underscores its commitment towards fostering a supportive economic environment and enhancing the well-being of the citizens.