Trinidad & Tobago VAT rate cut to 12.5%

Trinidad and Tobago is to cut its standard VAT rate to 12.5%. In compensate for the loss of revenues and ensure a balanced budget by 2018, the Caribbean Island will introduce other VAT reforms.

1. The reclassification of many items from the exempt and nil rated classification
2. An increase in the VAT registration threshold from TT$ 360,000 to TT$500,000
3. Cutting the standard VAT rate from 15% to 12.5%