Barbados Increasing VAT Registration Threshold and Implementing Other VAT-Related Changes as Part of 2026 Budget

Barbados is implementing certain VAT changes as part of the budget for 2026. The main change is an increase in the VAT registration threshold from BBD 200,000 to BBD 350,000 from 1 October 2026. Another important measure is the designation of rental car companies as eligible tourism service providers starting 1 July 2026, along with a reduction in their VAT rate from 17.5% to 10% in line with other tourism companies if meeting certain conditions, including that at least 60% of their revenue i…