VAT success will reduce need for complementary measures
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VAT office in the EC Daniel Building on Cayon Street (photo by Erasmus Williams) |
ST. KITTS, FEBRUARY 24TH 2011 (CUOPM) – St. Kitts and Nevis’ Prime Minister Hon. Dr. Denzil L. Douglas says the effective functioning of the recently introduced Value Added Tax (VAT) will reduce the need for complementary measures to secure fiscal and economic stability in the twin-island Federation.
He made the statement in response to an update from the Financial Secretary, Mrs. Janet Harris, Head of the VAT Unit, Mr. Edward Gift and Deputy Head, Ms. Velda Irish, during an update to the Cabinet on the progress of the implementation and monitoring of the VAT, which was introduced on November 1, 2010.
Dr. Douglas, who is also the Minister of Finance, commended the VAT Unit for the excellent leadership it has been bringing to the coordination of the implementation and monitoring of the new tax system.
The team from the Ministry of Finance highlighted some of the successes, particularly, the registration of a significant number of businesses across the wide spectrum of commercial activity, but was careful to point out a number of challenges, including the need to ensure a high level of compliance among business sector operators.
Prime Minister Douglas also commended the Financial Secretary and the VAT Unit leaders for their high level of input into the oversight of the reform of the tax system and concluded that the successful transition to the new taxation regime is key to the economic and fiscal stability and the continued social progress as a people.