President Irfaan Ali has ordered that freight charges be reduced to pre-pandemic levels in order to lower taxes on imports, thereby relieving consumers of the burden of rising prices on commodities that have been passed on due to higher shipping costs.
In a press release, the Office of the President (OP) announced that the Customs Act, and the Value Added Tax Act will be amended to reflect the concession, which is effective on all invoices dated August 1 and continues in effect until January 31, 2022.
“This measure will allow for a saving of $4.8 billion to the consumer and business community over the six month period, thereby reducing revenue collections by the similar amount of $4.8 billion,” it explained.