ST GEORGE’S, Grenada (CMC) – Grenada’s main opposition, the New National Party (NNP), on Wednesday said it has “serious concerns” following the government’s decision to table the Value Added Tax (Amendment) Bill, which seeks to impose VAT on services delivered through the internet or an electronic network.

The NNP said that the legislation will affect streaming and on-demand content as well as online advertising and digital marketing platforms, cloud computing, hosting, and data storage.

According to the NNP, the measure will also be aimed at software, apps, and SaaS products, automated e-learning platforms and pre-recorded educational content as well as digital products supplied electronically.

“At a time when Grenadians are already navigating rising living costs, this policy direction raises important questions about priorities and timing,” the NNP said, noting that across the region, administrations have implemented fuel subsidies, utility relief, expanded food programmes, and VAT reductions on basic necessities to shield citizens from the pressure of global inflation.

But it said that the Dickon Mitchell government “has offered no comparable relief and has instead chosen this moment to widen the tax net.

“The cost of food, utilities, and basic services continues to rise, and now this NDC (National Democratic Congress) government wants to add VAT to the digital tools that families, students, and entrepreneurs depend on,” said NNP and Opposition Leader, Emmalin Pierre.

“Before you tax a sector, you have a responsibility to support it, and this government has done nothing for digital content creators, nothing for small online businesses, and nothing for the Grenadian who is simply trying to access education or entertainment through their phone. This government speaks about economic empowerment, but this bill tells a different story,” she added.

Pierre said that revenue generation must not come at the expense of widening financial strain on citizens.

“Grenadians deserve a policy approach that supports both economic progress and everyday affordability,”  she added.