St Kitts PM to implement VAT

St. Kitts and Nevis Prime Minister Dr. Denzil Douglas says even as his government continues to consider entering into a borrowing arrangement with the International Monetary Fund (IMF), it will be moving ahead with the implementation of a Value Added Tax (VAT).



The measure, which will replace St Kitts’ current system of 10 indirect taxes, is to be implemented by November 1.



Dr. Douglas said his administration was yet to arrive at a final decision on the rate of implementation



The prime minister said tough decisions were now needed to get the economy back on track and to close the gap in the government’s budget.



In this regard, he said the government is carefully reviewing a number of options, including the rate at which the VAT will be implemented.



He suggested that such a decision could avert the need to go the IMF route at this stage.