Monday, August 8, 2022
Monday, August 8, 2022
Custom Text
Custom Text
HomeLOCAL NEWSVAT RELIEF EXPANDS FOR MORE DOMESTIC ELECTRICITY CUSTOMERS

VAT RELIEF EXPANDS FOR MORE DOMESTIC ELECTRICITY CUSTOMERS

Custom Text

The Government of St Vincent and the Grenadines has adjusted the Value Added Tax (VAT) applied on the electricity bill of domestic consumers in order to cushion against rising fuel costs. 

Prime Minister Dr Ralph Gonsalves, speaking in the House of Assembly on Monday said the Cabinet last Friday decided for the next three months – July, August and September – to give VAT relief (not apply VAT) to domestic consumers using up to 250 units/ kilowatt hours. 

This announcement was made as the St Vincent Electricity Services (VINLEC) provided an explanation today on the fuel surcharge rate applicable on July’s bill.

The Government of St Vincent and the Grenadines has adjusted the Value Added Tax (VAT) applied on the electricity bill of domestic consumers in order to cushion against rising fuel costs. 

Prime Minister Dr Ralph Gonsalves, speaking in the House of Assembly on Monday said the Cabinet last Friday decided for the next three months – July, August and September – to give VAT relief (not apply VAT) to domestic consumers using up to 250 units/ kilowatt hours. 

This announcement was made as the St Vincent Electricity Services (VINLEC) provided an explanation on the fuel surcharge rate applicable on July’s bill.

The release from the St Vincent Electricity Services (VINLEC) reads:

Further to St. Vincent Electricity Services Limited’s last press release on 14th June 2022, the cost of fuel associated with the production of electricity during the month of June remained high, resulting in the company paying approximately $9,000,000 once again for fuel used in generating energy. This has resulted in the calculated fuel surcharge rate applicable on July’s bill to be $0.7259 per kWh

Given the foregoing and the recognized potential impact such a rate will have on the electricity bills for residential customers, the Government has made the decision to expand the exemption on the Valued Added Tax (VAT) threshold from 15okWh to 250kWh for domestic customers. This effectively means that all units consumed up to 250kWh per month (by residential customers) have been zero rated for VAT for the three-months period July to September 2022 and therefore no VAT will be charged thereon.

The Company continues to monitor matters relating to the electricity industry globally and remains committed to providing a safe and reliable service. Meanwhile, we encourage those of our customers who can, to conserve electricity, as this will assist in mitigating the impact of the high monthly fuel cost.

Customers who have queries are encouraged to contact the Customer Services Department via email at customerservices@vinlec.com, telephone 456-1701 Ext. 237, 238 or via Facebook -facebook.com/VINLECSVG.

- Advertisement -
- Advertisement -Custom Text

Most Popular

- Advertisement -Custom Text
Get new posts by email

- Advertisement -Custom Text

Recent News

- Advertisement -Custom Text

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -Custom Text

You might also likeRELATED
Recommended to you