Disgruntled shoppers are already feeling the pinch from the two percent hike in the sales tax ABST that came into effect on Monday.
“Craziness, dishonesty and greed” were among the comments from some social media users responding to an Observer post asking residents for their experiences. Others bemoaned sky-high prices on everything from fruit juice to pet food.
The Prime Minister confirmed the ABST increase from 15 percent to 17 percent in his budget speech last month. The news caused widespread consternation among many already struggling to make ends meet amid rising global food prices exacerbated by supply chain issues and the war in Ukraine.
There are a few essential items exempt from ABST – like chicken, fish, fresh fruits and vegetables, sanitary towels, rice, and flour – but the new rate will apply to a wealth of other goods, plus services such as bars and restaurants.
Meanwhile, some shoppers have been reporting discrepancies between prices advertised on the shelves and what they are subsequently charged at the checkout.
Jo-Ann Peters, spokeswoman for the Prices and Consumer Affairs Division, called for patience as traders work to adjust their shelf prices in accordance with the new rate.
“We have been getting calls that there’s a bit of frustration. Persons are picking up goods from shelves and when they get to the checkout point, prices differ.
“We are asking consumers to please be patient; this has just been introduced. We are also telling traders that we cannot have these discrepancies in prices being carried on too long; we are urging the formatting to be done within a week or so,” she said.
In some countries, by law, shoppers are entitled to pay the lowest advertised price offered by the store, with shops required to honour a posted price even if the price has expired.
Peters clarified that this is not physically stated in current legislation in Antigua and Barbuda.
“Here consumers would pay the price given at the checkout,” she clarified to Observer.
Updated legislation has however been drafted so that eventually consumers will have the right to pay whichever price is the lesser.
For now, the division’s staff say they are actively monitoring the situation to prevent price-gouging by unscrupulous businesses.
“Our inspectors are out policing this process. We are monitoring the price-controlled goods to ensure they are not being sold above the maximum selling price,” Peters explained.
“We know there may be some traders looking to make more money at this time, so we are being vigilant to ensure customers are being protected.”