Antigua to bring back income tax
The Antiguan parliament passed a law that paves the way for residents to pay income tax for the first time in nearly 30 years.
The government said it was forced to reintroduce the tax to deal with the deficit left by the former Labour administration, which abolished income tax on the Caribbean isle in 1976.
The tax would come into effect on April 15, with proposed rates ranging from 10% to 25% on incomes about a minimum level.
The year old government of Prime Minister Baldwin Spencer said because of debt and a large public sector wage bill, it had to find a source of revenue to fund development projects and other social needs.
Antigua’s economy, based on tourism and offshore banking, has declined in recent years. While Antigua attracts upmarket tourists, critics says few benefits reach ordinary people.
