Pay up or miss out on Christmas rebate

Taxpayers in Barbados have been urged to pay their personal income tax, which was due in April, or risk missing out on the government’s promised $1300 rebate in December.

On Tuesday, Minister in the Ministry of Finance, Ryan Straughn announced that thousands of low-income Barbadians will receive their 2024 reverse tax credits in early December.

However, he warned that this was contingent on taxpayers settling any outstanding balances.

“If you haven’t filed your taxes, you won’t receive a refund, and if you have filed but still owe money, the debt remains. I urge people to settle because penalties will continue to accrue if they don’t,” Straughn told Barbados TODAY on Wednesday.

According to the minister, Barbadians are normally required to pay half of their owed taxes by April and the other half by September. Those who fail to meet these deadlines will not automatically receive the rebate, although in some cases the Barbados Revenue Authority may offset previous refunds against outstanding amounts.

He expressed the government’s commitment to ensuring that refunds reach those who are eligible, but only if they fully comply with tax obligations.

“All 2024 refunds are being processed this October, but you must have filed and paid in full to qualify,” Straughn reiterated.

The reverse tax credit scheme is designed to provide financial relief to those who earn less than the country’s standard personal tax allowance.

To qualify, an individual must be a resident of Barbados, earn an annual gross income of $25 000 or less, been employed for at least four months during the income year, paid at least $1300 in National Insurance Scheme (NIS) contributions for that year, and paid less than $500 in income tax for the year.

The Minister encouraged taxpayers to take immediate action, noting that prompt payment to the Barbados Revenue Authority avoids unnecessary penalties and ensures eligibility for the December rebate. (LG)