Western Union and MoneyGram are popular money transfer agencies in BVI.

Prime Minister and Finance Minister Dr Natalio Wheatley has announced that his government of national unity has decided to cut the tax on remittances by 50%.

Speaking at a press conference on Friday, the Prime Minister said: “At a recent Cabinet meeting we agreed to reduce the remittance tax from 7% to 3.5% to help our students and family abroad to cope with.While we are earning income, this lower percentage can encourage a greater volume of transactions, and this is in line with what was recommended prior to the introduction of this initiative. »

Dr Wheatley said his government recognizes that a large part of the population uses the remittance service to support their families in different parts of the world.

“That includes not just people who have families living overseas whom they have an obligation to support, but Virgin Islanders who have children in schools in the United States, the United Kingdom United and elsewhere who periodically send them dollars to make ends meet,” the prime minister said.

As for when the changes will come into effect, Dr Wheatley said it was just a matter of getting the Cabinet decision published.

“They are actually preparing the order… It will have to go to the House of Assembly just to be tabled, subject to a negative resolution of the House. Once it’s released, it comes into effect and it can happen anytime through next week,” he said on Friday.

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