Government has amended the Value Added Tax legislation to allow outstanding VAT debt to be written off.
Minister of Innovation, Science and Smart Technology, Senator Kay McConney, says the move is in keeping with a promise made by Prime Minister Mia Amor Mottley in her June 2018 budget.
She told the Senate consultation was held with the Barbados Revenue Authority.
Senator McConney adds there is a difference between a debt write off and debt forgiveness.
She notes though government has written off the debt, it does not mean the taxpayers do not still owe it.