Taxes Increases of 2.5% to 6%
During a press conference, the prime minister of Aruba, announced that taxes will increase by 2.5% on top of the 3.5% tax rate. This will bring taxes to 6% as of July 2018.
According to the prime minister, the taxes are temporary and necessary at the moment in order to pay for the “private public partnership” infrastructure contracts like (Green Corridor and Watty vos Boulevard) and the cost of health care. The prime minister said that 1.5% is destined to pay for the “PPP” projects and an estimated 1% to will go towards the increase of health care on the island.
Besides raising the taxes, the government will start the process collecting tax payments owed by companies. And also decrease expenses in the government by cutting back on personnel, travel expenses and other unnecessary operations.
Directors of government owned companies will also receive a new salary cap. More information about the increase in taxes will be reported by the prime minister in upcoming press conferences.