Nevis Has No New Taxes Planned For 2014
by Mike Godfrey, Lowtax.net, New York
23 December, 2013
The premier and minister of finance for Nevis, Vance Amory, presented a budget free of new taxes at a sitting of the Nevis Island Assembly on December 18, 2013.
In his address the premier said that the Nevis Island Administration (NIA) "will not seek to place any additional burden on the people of Nevis by increasing existing taxes or imposing new ones," but instead will focus on "broadening the tax base through policy reform and improved revenue administration."
Instead of introducing new taxes next year the government will raise its revenue through other measures, such as a 10 to 15 percent increase in the fees charged at the Financial Services Department, the body responsible for the registration of international companies, as well as the formation of trusts, mutual funds and foundations, and international insurance companies.
"It is our contention that this moderate increase will not seriously affect individuals or companies which seek to register their entities in Nevis," Mr Amory said. "Any such moderate increase will not affect the ordinary people of Nevis but will enable the government to further promote and develop this very important sector in Nevis."
The premier said that the Ministry of Finance will account for 86.25 percent of current revenue in 2014, with USD93.28m coming from taxes. Direct taxes will contribute 13.47 percent of total tax revenue, while indirect taxes will account for 60.67 percent. Value added tax will provide USD34.42m in revenue.
He also said that the Customs and Inland Revenue Departments are expected to collect USD39.09m and USD54.39m, respectively, while the Financial Services Department is expected to collect USD13.56m.
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