The government of Antigua & Barbuda has recently announced that short term rental properties in Antigua & Barbuda will be subject to a 14% ABST, (Antigua & Barbuda Sales Tax), on each and every short term vacation rental. The tax will be applicable for any stays in short term rental properties from the 1st January 2021 onwards.
The exact details are currently unclear as to how this new tax will be administrated and how property owners will make payments and recieve credits. The vast majority of short term rental properties are not owned by companies in Antigua but by private individuals currently only companies may register for ABST.
It is expected that for certain channels such as AirBnB the taxes will be added automatically upon booking, however for other smaller channels it is not clear how the taxes will be charged or credited to the individual property for offset of ABST purchases made by the property owner.
Owners now have a whole host of quesitons and new challenges to deal with alongside the drop in the tourism market due to COVID19.
We will be providing further updates as the details of this tax becomes clear.