Investor Presentaiton

Valued Added Tax and other Indirect Taxation measure K Overview of measure One of the issues that governments sometimes have to contend with when sales tax rate reductions are granted, is that the savings are not passed on by the merchants and thus the lack of price adjustment may largely counter the measures taken by the State to provide relief and make digital devices more affordable and accessible. It is unclear at this time whether, (i) local merchants have adjusted their prices downward or (ii) with the removal of both the VAT and online tax, persons have sourced computers online and thus would have benefitted from the removal of these taxes. The Minister has not indicated whether these exemptions would be extended past December 2020. He however announced that effective December 2020, and in keeping with the digitisation drive, all taxes will be removed on mobile, digital equipment and cell phones. It is hoped that, similarly, the final consumers will be in a position to benefit from these removals. The economic crisis in which COVID-19 has plunged the country has called for swift action by the government. As outlined by the OECD in its recent report “Tax and fiscal policy in response to the coronavirus crisis; Strengthening confidence and resilience", two of the critical dimensions of economic planning remain (i) the preservation of businesses' cash flow and maintenance of economic capacity and (ii) the cushioning of the immediate impact on households. What's Inside 2 Click to Navigate Territory Leader's message Tax Leader's thoughts Budget overview Budget fundamentals - 2021 Historical economic data Energy and energy related tax regime Corporation tax Value Added Tax & other indirect taxation Personal Income tax Stamp Duty Summary of other measures Let's talk About PwC PwC | Trinidad and Tobago 2021 national budget 45 45

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