Grenada: 2026 budget maintains VAT relief
Also introduces 50% VAT reduction for certain households
The Ministry of Finance presented the 2026 National Budget, which would maintain value added tax (VAT) relief for 20 essential items and introduce a 50% VAT reduction for households using 99-150 kWh of electricity monthly.
Petrol and diesel taxes would be capped at ECD 3.50 per gallon, and the Christmas Free Barrel Programme offers duty exemptions on up to two barrels of necessities per household.
No changes were made to other tax categories, focusing on economic stability and support for vulnerable households.
For more information, contact a KPMG tax professional in the Eastern Caribbean:
Marianne Greenidge | mariannegreenidge@kpmg.bb