Cabinet approves duty free concessions for taxi operators
October 6, 2023

Cabinet approves duty free concessions for taxi operators

Effective October 1, taxi operators in St Vincent and the Grenadines will receive duty free concessions on the importation of vehicles to be used to transport visitors, for excursions and charters and for the provision of taxi services within the country.

“The vehicles … must not ply routes as public service transport,” Prime Minister Dr Ralph Gonsalves said on Wednesday while reading the policy on NBC radio. “To do so will constitute a violation of the terms and conditions of this incentive programme.”

The Prime Minister said all applicants for the taxi concessions must be registered and licensed with the with the SVG Tourism Authority (SVGTA) and be in compliance with the SVGTA annual licence fees and registration payments for the last three years; must be in good standing with licenses and taxes with the Inland Revenue Department; and must be in good standing as a voluntary contributor with the National Insurance Services.

The vehicles must be a motor car, a SUV or a mini van and must be able to seat a minimum of five persons including the driver. The vehicles will carry LC registration plates and if the vehicle is sold within four years, duties and taxes will become payable on a pro rata basis.

The concessions will be granted for one vehicle, not more than six years old, within a four year period.

Operators receiving concessions will be exempt from import duty, excise duty, vehicle charge and Value Added Tax.

Imported vehicles up to one year old will receive 100 per cent duty free concession. Vehicles two to three years old will get 75 per cent exemption and those four to six years old will get 50 per cent duty free exemption.

In making the announcement, Gonsalves cautioned Vincentians to import vehicles from reputable persons, to avoid any problems with obtaining these “very generous concessions.”

All applications along with supporting documents must be submitted to the Permanent Secretary in the Ministry of Tourism.

Cabinet approved the Taxi Operators Fiscal Incentives Policy on September 20.