Basseterre, St. Kitts, January 18th 2010 (SKIPA): A concession package is now in place for retooling the construction industry. These concessions are designed to assist in the strengthening of our local construction capabilities, improve the services offered by contractors, increase efficiency in the delivery of products and ultimately reduce labour cost through competition and increased efficiency. This initiative was first viewed by Cabinet in September of 2009 and approved pending the review of a number of issues that had to be addressed before the commencement of the initiative.
After review the Public Works Department and the Development Control and Planning Board, required the St. Kitts – Nevis Building Contractors Association to develop a grading system for their members. This grading system would give the general public a better idea of the level of work each individual contractor is capable of managing.
Thus equipping the general public with valuable information that may be used during their decision making process. Both the Public Works Department and the Development Control and Planning Board are satisfied with the grading system developed by the Building Contractors Association. This list can be obtained by contacting the St. Kitts – Nevis Building Contractors Association, the Public Works Department or the Development Control and Planning Board.
Contractors qualifying for benefits under this retooling initiative must (1) have a valid business licence, (2) be in good standing with the Inland Revenue Department, (3) be in good standing with Social Security and (4) be in good standing with the St. Kitts-Nevis Building Contractors Association.
The concession package provides two tiers of duty relief for qualifying contractors. Tier One provides relief from import duty only requiring the contractor to pay Consumption Tax and the Customs Service Charge. While Tier Two provides relief from Import Duty and Consumption Tax requiring the contractor to pay a 12% Customs Service Charge. Each item approved under this initiative has an attached quantity and an expiration date of either (5) five years or (10) ten years. The concessions that are valid for a 5 year period will end on 31st December, 2015 and the concessions that are valid for a 10 year period will end on 31st December 2020.
Tier One
Wavier of Import Duty only
(Consumption Tax and Customs Service Charge Payable)
• Pick-up/ Truck or Panel Van: One (1) non-luxury utility pick-up, flat bed truck with hydraulics or Panel Van, to be approved by the Comptroller of Customs, within a five (5) year period
• Scaffolding: 50 stacks of scaffolding within a five (5) year period
• Dumper: One (1) vehicle within a ten (10) year period.
• Concrete Mixer: One (1) within a five (5) year period. In the case of a mobile concrete mixer the concrete capacity cannot exceed 2 yards.
• Stone Cutter: One within a five (5) year period
Tier Two
Waiver of Import Duty and Consumption Tax
(12% Customs Service Charge Payable)
• Industrial Saw: One within a five (5) year period
• Industrial Plane: One within a five (5) year period
• Industrial Sander: One within a five (5) year period
• Industrial Air Drill, Air Cutter and Air Compressor: One of each within a five (5) year period
• Industrial Steel Cutters: Two within a five (5) year period
NB: The second Industrial Steel Cutter imported would qualify for a waiver on import duty only.
• Industrial Steel Benders: Two within a five (5) year period
NB: The second Industrial Steel Bender imported would qualify for a waiver on import duty only.
