We noticed that you're using an unsupported browser. The TripAdvisor website may not display properly.
We support the following browsers:
Windows: Internet Explorer, Mozilla Firefox, Google Chrome. Mac: Safari.

VAT down to 7.5 per cent

Which Barbados hotels are on sale?
mm/dd/yyyy mm/dd/yyyy
See hotels
Christ Church...
posts: 724
reviews: 16
VAT down to 7.5 per cent

In the budget last night, VAT (sales tax) will be reduced to 7.5 per cent from 1st October 2013 on hotels and Direct Tourism Services. DTS includes car rental, restaurants, attractions, activities etc.

This should have a direct and positive effect in bringing prices down.

The BTA (Barbados Tourism Authority) will also be getting another BDS$100 million (US$50 million over the next 18 months for 'marketing and promotion' which includes BDS$26 million (US$13 million) 'to settle immediately all liabilities of the authority'.

Government are purchasing both Almond Beach Village and Silver Sands with the objective of refurbishment, re-opening and then selling or having the two properties professionally managed.

Government's stated intention is 'to bring at 1,000 rooms back into production. ABV and SS currently have a total of 630 rooms.

The reduction in VAT to 7.5 per cent has been applied to hotels, but no mention of villas, condominiums and apartments. Neither has it been stipulated that the lower VAT rate will be applied ONLY to registered properties or hotels that currently DO NOT owe Government NIS, VAT, Land Taxes etc.

63 replies to this topic
Christ Church...
posts: 724
reviews: 16
61. Re: VAT down to 7.5 per cent

NorthernCanuck,

There would be no real advantage to register for VAT if your turnover is under BDS$80,000 a year and if you are NOT registered you CANNOT by law charge VAT. It is one of the many reasons we (as a country) currently have so many financial problems, because some chose not to play by the rules (and the law). On the other hand, we as a business have been owed by Government outstanding and agreed VAT refunds for up to 3 years and 9 months.

Sudbury, Canada
posts: 2,221
reviews: 6
62. Re: VAT down to 7.5 per cent

Thanks for the explanation smokey and peach. I don't think I have ever bought something or a service and not paid sales tax/HST/GST (except for the exempted things), but now I see how the system works.

Hanover, Canada
posts: 720
reviews: 2
63. Re: VAT down to 7.5 per cent

Unfortunately there are merchants in Ontario (and Barbados perhaps) that charge tax, but as they are not registered, they fully intend to keep the tax amount. Check your receipts for their HST/VAT number.

Reply to: VAT down to 7.5 per cent
Get notified by e-mail when a reply is posted