= Doing Business reform making it easier to do business. = Doing Business reform making it more difficult to do business.
Starting a Business:
St. Vincent and the Grenadines eased business start up process by abolishing the requirement to have a company rubber seal.
St. Vincent and the Grenadines has reduced the tax burden on business by lowering the top tax rate by 5% to 35%, and a further reduction to 32.5% from 2009 onwards.
Effective year of income 2007, the corporate tax rate was reduced from 40% to 37.5% and will be progressively reduced to 30% over the next few years (35% in 2008). VAT will be introduced to replace a number of existing taxes, including consumption duty, domestic and international telecommunications surcharge, hotel tax, stamp duty on receipts and entertainment tax. VAT will be levied at a standard rate of 15%.
St. Vincent and the Grenadines enacted a bankruptcy law in 2007. The law is the country’s first set of rules regulating bankruptcy of private enterprises since its colonial history.