The International Monetary Fund, IMF, says Antigua & Barbuda should increase its tax earnings, which at 16 per cent of revenue is just one percentage point below what the fund says is needed to support the country’s developmental needs.
Antigua, which does not tax incomes, is said to have the lowest tax-to-gross domestic product ratio in the Eastern Caribbean Currency Union.
“What does 16 per cent tell us? It tells us that the tax to GDP is right at the margin, below which we would think that it is insufficient to support the country’s priorities,” IMF Managing Director, Kristalina Georgieva, said at a news conference.