Dominicans living in Antigua and Barbuda will now have to pay more to wire money to their friends, families, or loved ones. Recently, the Antigua and Barbuda Senate approved a bill that will see a significant hike in the charges levied on people wiring money out of the nation.
The legal change will result in more than a two-fold increase in the tax on money transfers, with the rate rising from two percent to five percent.
This legal change, known as the Money Services Business (Transfer) Levy Bill 2024, has now been passed by both Houses of Parliament and is expected to be enforced starting from April 1.
The increased levy rates will apply to all funds sent out of Antigua and Barbuda via licensed money transfer businesses.
These businesses will now have 30 days from the end of the month to pay the levy to the Inland Revenue.
The Government says the additional revenue – first announced in December’s budget – will add crucial dollars to public coffers and help it meet its monthly obligations on time.
Opposition legislators have expressed their belief that the proposed increase in money transfer fees unfairly targets migrants.
However, the leader of government business, Samantha Marshall, has defended the move, stating that the current rate has been in place for more than two decades and that the proposed bill will supersede the previous order.
Marshall has denied allegations that the increase is anti-migrant, citing the government’s decision to eliminate work permit fees for CARICOM nationals last year. Marshall has also emphasized that the proposed increase would generate a significant amount of revenue for the government.
She cited the example of the British Virgin Islands, where a seven per cent money transfer fee was implemented in 2020 and generated US$2 million within a year. According to Marshall, these funds were used for social, health, and agricultural programmes.
She further explained that the government is taking similar measures to ensure that Antigua and Barbuda can maintain its trajectory towards sustainability in the face of global challenges.
Despite criticisms from opposition legislators, the proposed increase is expected to provide the government with the necessary funds to support its social, health, and agricultural programmes
Soon all the ministers will put in for a salary increase. That’s how politics work. Once they cannot specify what this money is going to be spent on its clear that the never satisfied politicians are heading for a salary increase on the hurting poor people.
The tax, spend and creative enrichment Farmer Brown administration has a severe money problem. To try to make up for the shortfall in revenue, the uncreative clan of hyenas imposes nuisance taxes on the already overburdened working poor.
The purchasing power of Antiguans has rapidly diminished under this current clueless, callous and cold-blooded regime.
That government’s economic and politically misguided policies have caused an increase in poverty and crime. Brown’s administration has the people under duress. The cost of living in Antigua for the average citizen is now maddeningly unaffordable.