ST. GEORGE'S GRENADA, Tuesday, December 13, 2016: The public is advised that effective January 1st, 2017 there will be a change in the Personal Income Tax (PIT) rate.
The change will be as follows:
· The 15% deduction on salaries in excess of $3,000 ($36,000 per annum) to $5,000.00 ($60,000.00 per annum) will be changed to 10%;
· The 30% on salaries in excess of $60,000 remains; and
Therefore, employers deducting PIT from their employees who earn over $36,000 per annum should be guided accordingly.
The Inland Revenue Division (IRD) wishes to encourage employers and employees to pay particular attention to the effective date of the rate change.
All income accrued from the effective date will be subject to the new rate.
All retroactive payments will be subject to the rates applicable in the period to which they relate.