The Denzil L. Douglas Labour Administration has raised the threshold for the payment of the Housing and Social Development Levy from EC$12,000 per annum to EC$13,000  annum, thus those persons will not pay the levy if they earn EC$13,000 per month.

With the new threshold becoming effective from January 1st 2007, the Social Security Board in conjunction with the Inland Revenue Department announced that based on the new annual EC$13,000 threshold, persons paid  EC$250.00 weekly; EC$500 every two weeks; EC$541.67 every half month and EC$1,083.33 will not pay the levy deduction.

The St. Christopher and Nevis Social Security Board further explained as

follows:

If someone is paid weekly and the wage is less than $250.00, no Levy will be deducted.

If the person is paid every two weeks and the wage is less than $500.00, no Levy will be deducted. If the person is paid every half month and the wage is less than $541.67, no Levy will be deducted. Finally, if the person is paid on a monthly basis and the wage is less than $1,083.33, no Levy will be deducted.

~~adz:right~~As previously, the employer's contribution on behalf of each employee is not affected by these exemption provisions. The employer's portion of the Levy remains payable at all times.

The Inland Revenue Department has given the relevant instructions to initiate the new exemption level and the agreed date for implementation is set at 1st January 2007. The Social Security Board has made the necessary adjustments to the Statement of Wages and Contributions form to take account of the changes.

A special note will be issued to all employers to assist them in understanding the details of the changes, said the statement. The new Levy Exemption Threshold is in keeping with the provisions of the Housing and Social Development Levy (Amendment) Act, 2005 and all employers are asked to take special note and to be guided accordingly.