17 Dec 2024
Press Release - Stakeholder Notice - Zero Rated Food Items
Dear Stakeholders,
We are pleased to announce that, effective December 19 2024; the Government of Anguilla has zero-rated specific food items under the GST Act. This initiative aims to alleviate the cost of living for households while ensuring compliance with our tax obligations.
Key Highlights for Consumers
- No GST on Selected Food Items:
- You will no longer pay GST on a wide range of essential food items (Refer to the attached Simplified List for details on zero-rated items).
- Retail Pricing Adjustments:
- Retailers are expected to adjust prices to reflect the removal of GST.
- For transparency, the Consumer Unit will monitor pricing to ensure fair practices and issue updates where necessary.
- Consumer Affairs Unit Role:
o The newly established unit will assist consumers in understanding pricing mechanisms and addressing concerns related to zero-rated items.
o If you suspect discrepancies, contact us at 264-497-2547/264-476-0717
Key Points for Businesses
- At Customs - Importation of Zero-Rated Food Items:
- No GST will be applied at the point of entry for zero-rated food items. Importers must accurately declare goods to benefit from this status.
- Customs officers will verify that items qualify as zero-rated based on the Integrated Customs Tariff. Ensure your documentation matches the goods imported.
- Inland Revenue Department (IRD) Role:
- The IRD will oversee compliance with zero-rating rules and assist GST-registered businesses in applying appropriate tax treatments.
- Input tax credits can still be claimed for GST paid on operational expenses related to zero-rated goods (e.g., electricity or telephone).
- Retailers’ Responsibilities:
- Update your point-of-sale systems to exclude GST from zero-rated items.
- Display accurate prices to consumers, reflecting the removal of GST.
- Pricing Transparency:
- Businesses must maintain records to demonstrate compliance with the zero-rating changes. Audits may be conducted to ensure adherence.
Government Oversight
- Collaboration Between Customs, IRD, and Consumer Affairs Unit:
- Customs will ensure proper application of zero-rated GST at the port of entry.
- The IRD will manage compliance and guidance for businesses.
- The Consumer Affairs Unit will focus on monitoring prices and addressing consumer concerns.
This policy aligns with our commitment to economic development and the welfare of all residents. Thank you for your cooperation in making this transition smooth and effective.
For further details, please consult the Simplified List for Public Consumption or contact the respective departments:
- Customs Department: hmcustoms@gov.ai 264-497-2513
- IRD: GST@gov.ai inlandrevenue@gov.ai 264-497-8334
- Consumer Unit: Consumer.Affairs@gov.ai 264-497-2547 or 264-476-0717