The VAT Man Cometh – Hide Your Wallet
September 08, 2010
Businessmen and women on Nevis can from today, register their businesses at the Inland Revenue Department as part of the Value Added Tax [VAT] implementation process. This was according to Deputy Team Leader for the Tax Reform Unit Ms. Kimone Moving during Tuesday’s VAT update with Premier of Nevis the Hon. Joseph Parry and members of his Cabinet.
Moving, who meets regularly with the Nevis Island Administration [NIA] to discuss details surrounding the VAT, told the Department of Information that consumers have already begun to experience tax reductions as a result of the government’s easy transition efforts.
“We are aware that the government has initiated a policy to reduce the consumption tax rate which was 22.5 percent to 17 percent as of September 1st and it runs through the end of October so businesses or individuals who are importing will be paying a consumption tax rate of 17 percent,” she said.
“This,” according to Moving, “is in an effort to cushion the impact on consumers so that they can have some kind of relief prior to the actual implementation of the new tax.”
She also encouraged business persons to take advantage of the buildings and other secure areas that have been designed to store their dutiable goods without them having to pay taxes.
“There are bonded warehouses at the Customs [Department] and businesses are encouraged to register with the Customs Department to store their goods in October and as a result, they will be paying no VAT and no consumption tax in October. Come November 1st though, all goods for registered businesses will attract a VAT and so they have to accommodate for the Value Added Tax,” Moving said.