NIA Unveils Revenue Measures and Tightened Recovery Strategies for 2025

NIA CHARLESTOWN NEVIS (December 11, 2024)- Premier of Nevis the Honourable Mark Brantley, Minister of Finance in the Nevis Island Administration (NIA), has outlined a comprehensive plan to strengthen the government’s fiscal position and realign its revenue framework.

During the 2024 Budget Address on December 03, Premier Brantley emphasized the importance of implementing new revenue measures and enhancing recovery efforts in 2025 to ensure fiscal balance.

Reflecting on the impact of the COVID pandemic, he noted that the NIA had implemented several concessionary measures to support businesses and individuals in their recovery. However, these concessions, while beneficial, resulted in a significant loss of government revenue.

“This fiscal year, we intend to be resolute and steadfast with our revenue collections,” he stated. “Our economy is now experiencing a rebound in economic activity in many of the major sectors. We believe it is time to reduce some of these concessionary measures and get our fiscal house back in order.”

The NIA’s 2025 revenue measures aim to streamline collections, reduce arrears, and align service fees with their associated costs.

Effective April 01, 2025, the NIA will implement updated fee structures for services offered by the Financial Services Department. Service Providers have been notified to allow adequate preparation. 

Beginning June 1, 2025, the property tax rate on residential properties valued at EC$2 million or more will increase from 0.156 percent to 0.2 percent. This change brings Nevis in line with property tax rates on St. Kitts, ensuring uniformity across the Federation.

Premier Brantley also informed that the Tourism and Development Levy will rise from 2 to 3 percent, effective June 1, 2025, in preparation for the 2025/2026 tourism season. As Minister of Tourism he assured that discussions with hoteliers have ensured sufficient time for adjustments.

Going forward the NIA will link the renewal of licenses such as driver’s and business licenses to tax compliance, therefore these licenses will not be renewed until the government receives payment of outstanding taxes or upon the establishment of installment payment plans with the Inland Revenue Department. Similarly duty-free concessions for corporate entities will continue to be contingent on their compliance with tax obligations.

The Premier emphasized that businesses seeking to transact with the NIA or apply for concessions must present a valid Tax Clearance Certificate, and annual license renewals will depend on good standing at the Company Registry and compliance with tax filing requirements, including Value Added Tax (VAT) and Corporation Taxes.

Additionally, the NIA has discontinued waivers of interest and penalties for late payments, and instead will be offering installment options.

“We remain resolute as we continue to make a concerted effort to persuade our people to be responsible citizens and to honor their tax obligations,” Premier Brantley emphasized.

He urged all taxpayers to meet their obligations promptly, stressing that government resources rely on equitable contributions.

“It is only fair that as individuals and business entities seek to benefit from the economic engagement with the Administration and on the island, they must pay their share of fees and taxes to allow Government the resources to further fund critical programmes. We therefore encourage all taxpayers to file and pay their taxes on time. All of us must be responsible citizens.”

These measures reflect the NIA’s commitment to fiscal prudence and sustainable growth as it enters 2025.