Items Zero-Rated for Value Added Tax (Personal Care et al)
In the 2022 Budgetary Proposals and Financial Statement, presented on March 14th, 2022, the Minister of Finance and Economic Affairs, Culture, Security and Public Service (“the Minister”) revised the Value Added Tax (“VAT”) regime to zero-rate some essential personal care items and items which are used primarily to assist with the control of chronic non-communicable diseases, particularly diabetes.
The Minister identified several items, by way of example, which would become zero-rated as of April 1st, 2022, including all sanitary towels and tampons, baby and adult diapers, antiperspirants, vitamins and multi-minerals, Glucerna, Ensure and Enterex.
To give effect to the revisions, the Barbados Revenue Authority advises that the items in the table below will be included in the First Schedule of the Value Added Tax Act Cap. 87, which specifies the items which are zero-rated for VAT.
The list of zero-rated items will come into effect on April 1st, 2022.