The government of St Vincent and the Grenadines on Thursday 22 September announced a 3-year wage increase for public servants, an increase in the Minimum wage and Tax reforms.
The package was announced by Finance Minister Camilo Gonsalves at a press conference in Kingstown.
Gonsalves said tax reforms would include a reduction in Personal and Corporate income tax.
“The tax threshold, which is the amount of money you can earn tax-free before the government taxes you, is increasing from $20,000 to $22,000 this year. Before, if you made $19,000, you didn’t have to pay income tax. When you reach $20,000, they start taxing anything over that amount. “The threshold is now $22,000,” Gonsalves said.
As it pertains to public servants the package is as follows;
In 2023, there will be a salary increase of 2.5%, in 2024 there will be an additional salary increase of 2% and in 2025 there will be an additional salary increase of 2.5% making in total seven percentage points over a three-year period.
Gonsalves said the last salary increase which was negotiated in 2018 for the years 2018, 2019 and 2020 was 1%, 1.5% and 2%, a total of 4.5%.
The article will be updated shortly