Grenada implements fiscal incentives, offer 100% duty and tax exemptions until Dec 31

Grenada: The Government implemented the first phase of fiscal incentives including 100% duty and tax exemptions with a vision to benefit the citizens of Grenada, Carriacou and Petite Martinique who were mostly affected by the devastating effects of Hurricane Beryl.

Notably, the removal of duties and taxes has applied to barrels cleared from 22nd July 2024 and it will continue till 31st December 2024. This initiative has been referred to as the “free barrel program.”

Under this initiative, new fiscal incentives will be applied to food, clothing, small household appliances, linen and bedding items, toiletries, sanitary products and household cleaning supplies imported into the State of Grenada in boxes, barrels, and crates.

The authorities noted that the items which are to be imported are not to be used for commercial purpose or resale and are also limited to 2 barrels per household. While shedding light on the administrative process for clearing the barrels, the administration stated that it would remain the same, except with the fact that importers would not be required to pay the usual duties, taxes, and fees.

Significantly, the items will still be valued by a Customs Officer therefore the invoices, and other documentation are still required. Moreover, the government also asserted that the importers must present at least one of the following forms of identification to have their items cleared – Driver’s License, Passport, Voter’s Registration card, or NIS card.

While offering relief from the taxes, the government also shared some of the conditions which is required to be followed under this initiative. The condition includes, that relief from duties, taxes, and fees is granted on two barrels per household. And, if people import above this limit, then they will be subject to duties and taxes, as is customary.

Along with that, importer have also been advised to not make any false declaration as it a serious offense to customs and many also result in heavy fines and penalties.