BASSETERRE, St. Kitts – CONSULTATIONS on the introduction of a Value Added Tax (VAT) have begun with business stakeholders and in the next six months the education campaign is expected to reach every consumer.
Head of the Tax Reform Office in the Inland Revenue Department Edward Gift told SKNVibes that consultations are on schedule and would first focus on various business stakeholders before coming to the community level. Gift revealed that by the end of this month, the public awareness and education campaign will be in full steam.
“Before the end of the month a press release will be issued with regards to the launch of the VAT website and the VAT White Paper. The White Paper will outline the major policy issues in relation to VAT for discussion and review by our stakeholders, social partners and consumers.
“Town Hall meetings for consumers and meetings with stakeholders within every socio-economic sector will commence shortly,” he said.
According to the plans of the Tax Reform Office, a meeting will be held with the media to address issues of news publication, education on how the new tax is expected to work and how it may affect consumers. Gift informed that brochures and information pamphlets to complement the education campaign are being finalized at the moment.
The education process is to be rolled out in different phases and would invite discussion from a wide cross-section of stakeholders. This consultation is expected to guide the government in the introduction of the consumption tax.
Gift said, “The White Paper invites comments on a VAT threshold, proposed goods and services to be zero-rated or exempted and the general operations of a VAT for the Federation.”
SKNVibes understands that the Tax Reform Office will be engaging the St. Kitts and Nevis Hotel and Tourism Association today (Apr. 8) and will have consultations in the coming weeks with the St. Kitts and Nevis Chamber of Industry and Commerce and other businesses.
According to the 2010 Budget Debate, the widespread Public Awareness and Education Campaign launched this month is designed to lay the groundwork for the passing of all relevant VAT legislation in May.
