12% Sales Tax being replaced with Value Added Tax on 1 July 2022
The South American state of Suriname’s Government Council passed the VAT Bill 2022 on 8 April 2022. This follows Parliament giving the go ahead for the implementation of a Value Added Tax regime from 1 July 2022. The next stage will be a public consultation on the implementation procedures.
Sales Taxes for goods and services is now 12%. This follows an increase from 10% on goods in October 2021 and rise for services from 8% to 12% at the same time.
Elements of the new VAT regime include:
- The existing 10% Solidarity Levy will be extended to 1 July 2022.
- Income and wages taxes will be modified to provide support for the less well off in the economy, and mitigate the effects of VAT on living standards; and
- individual taxpayers will receive a tax credit of SRD 750 per month until the implementation of VAT
The new Suriname VAT will replace the existing Turnover Tax. This levies a final consumer tax of 10% on goods and 8% on services, which were set in 2002. Most basic foodstuffs are exempt from the existing sales tax. There is also a 25% rate on luxury goods.
Check any global VAT and GST rates via our global rate database.