In the House of Assembly on Tuesday evening, July 29th, the two Anguilla United Front’s (AUF) GST Relief Bills were eventually passed after their second and third readings.
Both the General Services Tax Act and the Goods and Services Tax Amendment Act 2025 were passed by division of vote with 7 “yeses” from the Government side and 2 “nays” from the Opposition side. Both the Deputy Governor, Perin Bradley, and Acting Attorney General, Ivor Green, abstained their vote.
Leader of the Opposition, Dr. Ellis L. Webster, as well as Opposition Members Haydn Hughes and Merrick Richardson, had objected to the time limits, the introduction of the Bills to the House, and the consolidation of the Bills to be debated.
Mr. Richardson criticized the Government for not having consultation with the general public with regard to the possible implications of the Bills. He accused the Government of regressing the economy of the country, saying it has caused Anguilla “to move from gold to straw.”
The Hon. Minister of Infrastructure, José Vanterpool, reminded the Opposition members that the AUF Relief plan is the same plan which was presented to the Anguilla Progressive Movement (APM) Government in August of 2024. He further reminded Mr. Richardson that subsequent to the release of that plan, the AUF held public consultations in all seven districts.
In addition, Mr. Vanterpool pointed out that the APM won the 2020 election through its campaign promise of “no GST”, but indeed GST was actually implemented shortly after the APM took office. He said the AUF won the 2025 election on its promise of “GST Relief” which it was now delivering to the people.
The Hon. Minister of Economic Development, Mr. Kyle Hodge, who had been instrumental in the crafting of the AUF’s GST Relief Plan said: “What comes first for us is the people. We must ensure that our people can survive on their own without hand outs such as bonuses and credits…”
“Do not dare say that all governments are alike,” he said. “We are not all alike. What we are here to do today, the former administration would not have done it. We are all one people yes, and there is no animosity among us, but we are a different kind of government. We are making provision for our people.”
In reflecting upon the actions of the Anguilla Progressive Movement while it sat in the seat of administration, Opposition Member Merrick Richardson again argued: “The APM administration brought real relief to the people by abolishing property taxes, removing GST on medical supplies, on bulk petroleum, on food, and other items with an EC$42 Million loss from Government coffers.”
He contended that the new AUF Bills are intended to reduce inflation and to provide food security, but he said he does not see where this was possible since the merchants cannot reclaim their 9%, which they would pay at the ports, and besides, they already have so many other business obligations to meet.
The Hon. Leader of Government Business and Premier, Cora Richardson-Hodge assured the populace that through the implementation of the General Services Tax Act and the Goods and Services Tax Amendment Act 2025 her government has devised a “balancing act” (no pun intended).
The Premier declared that there must be a balancing act. “Your balancing act has to be to: pay down your debt; ensure that your obligations are met; ensure that you are in compliance with your borrowing guidelines; provide the necessary health services; provide education for our young people; and provide for the advancement of our people as a whole. That is the balancing act,” she said.
Due to the passage of the Bills in the House, as of Friday August 1st there will be absolutely no GST on all goods and products in Anguilla’s stores. The 13% GST will remain on all services, however, and at the ports merchants/importers will pay a 9% Goods Tax which will be calculated on the original Cost of the product plus Insurance plus Freight (CIF). Payment of this 9% tax cannot be reclaimed, however, as it was in the case of the 13% GST.
