BASSETERRE, St. Kitts, February 21, 2025 – The Department of Consumer Affairs has reported the findings of its latest market surveillance exercises during the period February 10-14, 2025, reflecting a one hundred percent compliance rate of price adjustments.
The department’s active surveillance exercises focuses primarily on the monitoring of current day prices of goods and services during the Value Added Tax (VAT) Relief Holiday, introduced by the Government of St. Kitts and Nevis to ease financial burdens on citizens and spur economic activity. During this six-month period, January to June 2025, the Value Added Tax rate is reduced from 17 to 13 percent.
The Department of Consumer Affairs has since commenced monthly market surveillance exercises to ensure that the intended benefits of the recent VAT reduction are passed on to consumers.
During its most recent exercise from February 10-14, officers collected and analysed random invoices and sales receipts in an effort to ensure the reduced VAT rate of 13 percent had been applied at checkout. Among the 15 businesses inspected, all were found to be compliant with this requirement.
“In most instances, officers observed reductions in shelf prices, due to their pricing tags reflecting the reduced price calculated within their Point Of Sale (POS) system. This further indicates that businesses have passed the reduced VAT rate savings along to consumers. This initiative has ultimately resulted in notable price reductions across various sectors, including household items such as appliances and furniture from major retailers, in addition to utility bills from service providers, and professional services, including legal fees,” the report stated.
The Department of Consumer Affairs will continue to conduct monthly price reviews to monitor market fluctuations, engage with businesses, and ensure transparency and compliance, thereby maximizing consumer benefits from this innovative initiative.
The department is also urging persons to remain vigilant and to report any instances where prices have not been adjusted. Persons can contact the Consumer Affairs Department via phone at 467-1550 or email at consumeraffairs@gov.kn.
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