Home The Big Stories Consumer Affairs weighs in on planned ABST tax break

Consumer Affairs weighs in on planned ABST tax break

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By Kisean Joseph

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The Prices and Consumer Affairs Division has commented on the planned Antigua Barbuda Sales Tax (ABST) reduction weekend, scheduled for December 20 to 22. Deputy Director Joanne Peters confirmed that consumers will benefit from the tax relief, with the ABST dropping from 17 to 7 percent on qualifying goods.

Speaking during an interview with Observer media, Peters emphasized that while the initiative offers savings opportunities, consumers need to understand its scope and limitations.

“The reduction applies to all types of goods that are subjected to the ABST that are sold during this specified period but not to services,” Peters said.

The initiative’s voluntary nature means that not all retail establishments will necessarily participate. Peters advised consumers to be proactive in their approach: “Consumers would need to find out from the establishment if they are participating in the initiative so that they can realize some savings.”

Addressing common misconceptions from previous years, Peters noted that her office frequently receives inquiries from consumers who expected discounts on items not subject to ABST. “Many times, we find in the past consumers will contact our office and they will express their concerns to say, ‘I have made purchases but I am not getting the discount,'” she said, emphasizing that the reduction only applies to goods that are normally subject to the ABST.

To avoid potential disputes and ensure consumer protection, she strongly recommended that shoppers retain their receipts. “It is very important that you retain your receipt just in case you need to return an item to the store or seek redress,” she advised.

The division has also issued guidelines for safe shopping practices and budgeting advice to help consumers make the most of the tax break.

She urged shoppers to set specific spending limits and stick to them, taking into account regular monthly expenses such as utility bills, rent, mortgage payments, and insurance that will still need to be paid in January, adding that “many times we have heard consumers saying that January is such a long, hard month.”

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