The Government will be increasing taxes on several items during the 2016 fiscal year in a bid to raise an additional 20 million dollars in revenue or 1% of Gross Domestic Product (GDP) to finance its ambitious plans for economic growth and job creation.
Prime Minister and Minister of Finance Dr. Ralph Gonsalves made the announcement yesterday as he presented the 2016 Budget which amounts to 912-million, 897-thousand 311 dollars, with a current account deficit of $11.9 million.
He said taxes will increase on beverages such as beer, malt, brandy, stout, wine of fresh grapes, whiskey and vodka; while tax on commercial properties will be increased from the rate of 0.06% to 0.08%, as of this current tax year, and will raise an estimated $300,000 per year.
Dr. Gonsalves also announced increases on motor vehicle and drivers licenses, as well as the surcharge on vehicles older than four years.
The Prime Minister said there will also be an increase in the fees for residence permits, work permits and gun licenses.