Basseterre, St Kitts and Nevis: Under the directives of the Prime Minister – Dr Terrance Drew, the Government of St Kitts and Nevis has been introducing a variety of policies to revive and boost the economic recovery of the country.
Prime Minister has emphasized easing the extra pressure and compression from the businesses and importers to keep the national economy running and thriving.
As per the latest reports, a number of new extensions are to be made in temporary tax rate reductions for businesses to tackle major challenges and issues in businesses related to finance.
The government of St Kitts and Nevis has also confronted the financial issue by extending the Excise Tax reduction time along with the reduction in average food freight at the 2019 price cap for importers.
On his part, Prime Minister and the Minister of Finance of St Kitts and Nevis, Terrance Drew, has also outlined the need for such initiatives to tackle the financial challenges in front of the Federation.
He emphasized that these policies are anticipated to play a major role in taking the national economy on a progressive path. It was also highlighted that several parties are expected to benefit from the government initiatives, such as businesses, households and importers.
Furthermore, PM Drew stressed that several motives are focused on with the help of these initiatives, such as enhanced employment opportunities, sustainable business operations, and better living standards for the residents.
Prime Minister Terrance Drew said that through such initiatives and policies introduced by the government, the Caribbean country has been progressing towards becoming a Sustainable Island State.
In his remarks, he also noted that “After careful consideration, it was resolved that the temporary tax cuts of the Corporate Income Tax (CIT) from 33% to 25% and the Unincorporated Business Tax (UBT) from 4% to 2%, which were set to expire on June 30, 2023, will now be extended for an additional six (6) months until December 31, 2023”.
To deal with the periodic economic instability, the tax reduction was implemented to assist businesses in the Federation during the COVID-19 pandemic. Moreover, the tax cuts have assisted economic growth by fostering competitiveness, reducing food costs, preserving job possibilities, and boosting cash flow.
Meanwhile, the reductions in Excise Tax have been extended by the government of St Kitts and Nevis, which is part of the price increase for unleaded gasoline, until December 31, 2023. The reduction was made from $2.25 to $0.95 per gallon for a limited time.
Under the leadership of PM Drew, St Kitts and Nevis Government have initiated to sustain the price cap for importers at the 2019 average food freight charges. It includes 20 feet (ft) and 40 feet (ft) of dry goods and cold storage items.
In the end, creating a supportive environment with thriving economic growth in the country has been the commitment of the government of St Kitts and Nevis.