Government Considering Back-to-School ABST Relief Focused on Food and Supplies

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Ready for back to school

The government is considering a targeted back-to-school relief measure that would provide Antigua and Barbuda Sales Tax (ABST) exemptions on select items, Prime Minister Gaston Browne said.

Speaking during an ABS interview, Browne indicated that the relief would likely be narrower in scope than previous broad-based ABST concessions offered during the Christmas period.

“It will not be as broad,” Browne said. “We’re thinking that we should go back to school ABST relief, but maybe limited to food, school supplies.”

He explained that the Ministry of Finance has cautioned against expanding the measure too widely, noting that a broad exemption could negatively affect government revenues.

“The MF would have said to us, look, if you make it too broad, it may undermine revenues,” Browne said.

The prime minister, however, noted that revenue performance so far this year has improved, particularly collections from Customs, which he attributed to administrative changes and tighter enforcement.

While no date was announced for the proposed relief period, Browne said the government is weighing the measure as part of its ongoing efforts to provide targeted cost-of-living support.

The ABST, introduced in 2007, is a key revenue source for the government, and temporary exemptions are typically granted during peak shopping periods such as the Christmas season and back-to-school period.

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