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Saint Lucia: Tax amendments include extension of VAT exemption for construction materials

VAT exemption for constructions materials extended until November 30, 2030

August 27, 2026

The Parliament of Saint Lucia on July 15, 2026, approved the following amendments to the Income Tax Act:

  • Extension of VAT exemption on key construction materials, including cement, lumber, steel, and aluminum, until November 30, 2030
  • Temporary relief from VAT penalties and interest on outstanding VAT liabilities for periods ending on or before December 31, 2025, with the relief available until December 31, 2027
  • Introduction of 50% deduction on interest paid on loans used by first-time landowners to purchase qualifying residential land


For more information, contact a KPMG tax professional in the Eastern Caribbean:

Marianne Greenidge | mariannegreenidge@kpmg.bb

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