10 highlights of the 2021 Budget
Finance Minister Colm Imbert has presented the national budget for fiscal 2021 in the Parliament.
The Minister in a three-hour presentation proposed a range of incentives to offer relief to all sectors of society.
Check out highlights from the 2021 budget below:
1. Property tax: Collection due to begin in fiscal 2021.
2. Utilities: Electricity rate to be reviewed – increase in tariffs likely.
3. Personal income tax: From January 1, 2021, monthly salaries of $7,000 and less will not be taxed.
4. Employment: Freeze on filling vacant posts within the Public Sector for a one year period.
5. Energy: NP gas stations to be offered for sale; fixed price margins for gas, diesel to be removed
6. Transport: Tobago ferry, APT James, to come into service December 2020; Port Authority operations to be privatised.
7. Education: $50M allocated for laptops for students in need; taxes on mobile phones digital equipment removed; internet mifi devices to be made available to 45,000 students.
8. Housing: Construction of 25,000 homes planned for next 10 years
9. Taxation: 12.5 per cent tax on luxury items (apples, grapes, champagne etc – full list to be published in due course); 200 per cent rise in penalties on sale in alcohol and tobacco to minors.
10. Taxes on imported motor vehicles: Removal of tax concessions on importation of private motor vehicles - imported private vehicles to now attract Customs Duty, Value Added Tax (VAT) and other from October 20.
The key figures are as follows:
Total Revenue $41.361 B (Based on US$45 per barrel, $3 MMBTU)
Expenditure $41.573 B
National Security $5.227 B
Education & Training $7.973 B
Health $6.050 B
Works and Transport $2.956 B
Public Utilities $2.091 B
Rural Development and Local Government $1.642 B
Housing $1 B
Agriculture $1.198 B
Tobago: $2.134 B
Meanwhile, Government has projected:
Oil revenue $9.265 B
Non-oil revenue $31.193 B
Capital revenue $0.905 B