Duty Exemption could get larger as new Traveller Tax introduced, says Deputy Premier 

By Dana Malcolm 

Staff Writer

#TurksandCaicos, July 3, 2023 – Government is planning that a new tax to all travellers will be offset by a proposal put before the Turks and Caicos Islands Cabinet to expand how much residents can bring into the country, duty-free.

It’s not activated as yet, but it is in the works; the residents of the Turks and Caicos Islands will have a $400 increase in their Customs Duty Exemptions once Cabinet signs off on the proposal to expand how much can be brought in tax-free by TCI residents.

Confirmation on the impending measure came from E Jay Saunders, Deputy Premier and Finance Minister in response to Magnetic Media questions on Thursday.

Residents had reached out to our news team querying whether the increase was actually happening.  While Saunders stressed that it had not yet been to Cabinet for approval, he said the increase would push the new exemption bracket to $1,000 dollars on every trip into the country.

“It’s our intention to raise the duty exemption limit to $1,000 from $600. It hasn’t been done yet. We still have to approve it in Cabinet – Also, the increase will only be for residents of the TCI,” he explained.

He said the traveler fee for the Destination Marketing and Management Organisation would affect everyone coming in the ports, this will include the residential population.

“With it, we’re seeking to address two issues. The first is that with the Destination Management Fee, every air traveler, including TC residents, will be charged $10. To make up for that charge, our Government is seeking, subject to Cabinet approval, to give all TC residents (i.e. who pay the $10) an additional $400 in duty exemptions.”

The second issue that the increase in duty exemptions will address, he told us,  is the inflationary pressure and cost of living crisis burdening some residents.

“As a country that imports most items, including food items, TC residents are forced to put up with high imported inflation. With the duty exemption increase, TC residents will be able to buy more items, at cheaper prices, abroad, and bring up to $1,000 of those items into the country duty-free. We expect that this will have a huge positive impact on TC residents’ pocket books, especially during this summer period, when many of our residents will travel abroad, and many of our parents with children in school, will be buying items for back to school.”

Saunders did not give a date as to when it would become official as he too was bound to wait on approval at Cabinet.