VAT, property tax and the other taxes you meet every day

7 min read · Before you start: Lessons on tax basics and your payslip · Updated 26 October 2026

Key terms in this lesson: mortgage · personal allowance · zero-rated · NIS (all defined in the glossary)

Income tax is only one slice. Every week you pay other taxes without seeing a separate line. Knowing what they are helps you read receipts, plan big purchases and spot changes after each national budget.

VAT: tax built into the price

Value Added Tax is charged on many goods and services. The Ministry of Finance states the standard rate is 12.5 percent. Registered businesses add it to their prices and pass it to the government.

Working with VAT amounts

A price before VAT is TT$100. VAT is TT$12.50. You pay TT$112.50.
To take VAT out of a price that already includes it, divide by 1.125. TT$225 / 1.125 = TT$200, so the VAT is TT$25.

Some goods are zero-rated, including a published list of basic food items. Some supplies are exempt. Budget 2027 proposes to move selected zero-rated items to VAT-exempt status from 1 January 2027. PwC notes customers would still pay no VAT at the point of sale, but suppliers may lose the ability to recover VAT on their own costs, which could affect prices. The final item list was not in the summaries we read, so check the Ministry of Finance list.

Why it matters: VAT hits low-income households harder, because they spend most of what they earn. When you compare prices, compare the final price you pay.

Property tax

The Property Tax Act provides for a yearly tax on land and buildings, administered by the Board of Inland Revenue. Its rates, collection and deadlines have been changed and paused several times in recent years, and different published summaries describe its current status differently. Because of this, no article, including this one, can tell you whether you owe it this year. Check three things on the BIR website or at a district revenue office:

Whether a bill applies to your property now.
The amount and due date.
The deadline and process to object if you think the valuation is wrong. Missing a deadline can cost you the right to object.

Keep every notice, and pay or object on time. Penalties and interest can add up if you ignore a bill.

Conveyance (stamp) duty when you buy property

When you buy property you pay duty on the transfer. EY's summary of Budget 2027 describes first-time homeowner rates for a residence with a dwelling house: 0 percent on the first TT$2,000,000, 5 percent on the slice from TT$2,000,000.01 to TT$2,250,000, and 7.5 percent above that. PwC lists these first-time homeowner rates as existing rules with no change, and lists mortgage deeds of TT$2 million or less as exempt. Your attorney or the BIR can confirm the current position.

Other charges that show up

Health surcharge: a small weekly amount on your payslip. EY lists TT$4.80 or TT$8.25 a week.
NIS: covered in the payslip lesson.
Utilities and fuel: prices and surcharges change. For example, Budget 2027 proposes a residential electricity surcharge of TT$0.05 per kWh on use above 3,000 kWh per billing period from 1 January 2027, according to EY.
Tax credits: the same summary lists credits such as a solar water heater credit of up to TT$10,000 and a 25 percent credit for a CNG kit up to TT$10,000. Check eligibility before you buy.

Budget 2027 at a glance

The Appropriation (Financial Year 2027) Bill, 2026 passed the House of Representatives on 25 October 2026 and was passed in the Senate in late October, after which it goes to the President for assent. The Appropriation Bill authorises government spending; it does not by itself enact the tax measures announced in the budget. Those still depend on a separate Finance Bill, which had not been passed at the time of writing, so measures below marked "proposed" remain proposals. Dates and details can change.

Measure	When	Status
Pensioner personal allowance rises from TT$90,000 to TT$102,000	1 Jan 2027	Proposed
Selected zero-rated items move to VAT-exempt	1 Jan 2027	Proposed; list pending
VAT on digital services from non-resident providers, 12.5%	1 Mar 2027	Proposed
VAT clearance certificate fee, TT$100	1 Jan 2027	Proposed
Residential electricity surcharge, 5 cents per kWh above 3,000 kWh per billing period	1 Jan 2027	Proposed
Mandatory e-filing of tax returns for all taxpayers, including individuals	1 Jan 2027	Proposed
Senior Citizens', Public Assistance and Disability Assistance grants up by TT$250 a month	1 Jan 2027	Announced
Landlord surcharge on gross rent (2.5% up to TT$20,000 quarterly, 3.5% above)	FY2026	Listed as enacted by PwC

Sources: PwC Budget Insights 2027 and Trinidad Express (25 Oct 2026). Read the official Budget Statement on the Ministry of Finance website for the exact wording.

How to follow budget changes

Read the Ministry of Finance budget summary, or a plain-language summary from a professional firm.
Note the effective date. Many measures start on 1 January or only after Parliament passes a law.
Ask: does this change my income, my bills or a purchase I plan?
Adjust your budget if it does.

Key ideas: VAT is in the price you see. Property tax and duty rules change, so confirm with the BIR or an attorney. Track budget changes by effective date.

Where sources differ, go to the source. Sources describe the status of property tax, the VAT-free list and Budget 2027 measures differently, and some measures await legislation. Read the official information and decide for yourself what applies to you. Useful places: Ministry of Finance, Board of Inland Revenue, Ministry of Finance zero-rated items explained, EY's Budget 2027 review, PwC Budget Insights 2027.

Test yourself

Quick check 1 of 3

A price before VAT is TT$200. At 12.5 percent VAT, what do you pay?

Quick check 2 of 3

To remove VAT from a price that includes it, you divide by what?

Quick check 3 of 3

What is the best way to find out whether a property tax bill applies to you now?

Not financial advice. This lesson is general education only. See our editorial policy and disclaimer.