Antigua & Barbuda ABST Guide: 15% Standard Rate, Tourism 2026

Q: What is the penalty for late ABST filing?

Penalties range from XCD 500 to XCD 5,000 depending on delay and company size. Interest on late payment accrues at the statutory rate.

Antigua and Barbuda applies the Antigua and Barbuda Sales Tax (ABST) at a standard rate of 15%. Exports are zero-rated. Certain goods and services, particularly in tourism, may qualify for exemptions or reduced rates. Here is how ABST works in 2026.

ABST is governed by the Sales Tax Act and administered by the Inland Revenue Department (IRD). It is a consumption tax applied to the supply of goods and services in Antigua and Barbuda. Businesses with annual taxable turnover exceeding XCD 200,000 must register for ABST. Below this threshold, registration is voluntary. ABST returns are filed monthly or quarterly depending on turnover. Corporate tax overview →

Real-world example: A resort charges XCD 10,000 for a 7-night stay. ABST at 15% = XCD 1,500, total invoice XCD 11,500. A restaurant meal of XCD 500 includes ABST at 15% = XCD 65.22. An export sale of XCD 1,000,000 to a US customer is ABST-rated at 0%, allowing the exporter to reclaim input ABST on related costs. Compare to other Caribbean VAT rates of 12-20%. Cross-border ABST rules →

ABST Rates in Antigua and Barbuda

15% (standard rate): Most goods and services including retail, restaurants, professional services, electronics, clothing, and consumer goods
0% (zero rate): Exports of goods, international transport, supplies to international organizations, and certain supplies to diplomatic missions
Exempt: Financial services (banking, insurance), education, healthcare, residential rent, and certain basic food items

The tourism sector is a significant contributor to Antigua's economy, and ABST applies at the standard 15% rate to most tourism services.

ABST Registration

Mandatory registration: Annual taxable turnover exceeds XCD 200,000
Voluntary registration: Businesses below the threshold may opt to register
Non-resident registration: Foreign businesses supplying taxable goods or services in Antigua must register

Registration is done through the IRD. Failure to register when required can result in penalties and back-tax assessments.

ABST Compliance and Filing

Filing frequency: Monthly for businesses with turnover above XCD 1 million; quarterly for smaller businesses
Filing deadline: By the 14th of the following month (monthly) or by the 14th after the quarter ends (quarterly)
Payment deadline: Same as filing deadline
Records: Businesses must maintain ABST invoices, receipts, and accounting records for 6 years

Late filing incurs penalties. Late payment incurs interest at the statutory rate. The IRD conducts regular ABST audits.

ABST Invoicing

Registered businesses must issue tax invoices for taxable supplies. Key requirements include:

Tax invoices must include seller/buyer details, ABST registration number, date, description, amount, ABST rate, and ABST amount
Invoices must be in East Caribbean Dollars (XCD). Foreign currency transactions converted at the official exchange rate (2.7 XCD = 1 USD)

Can non-resident businesses reclaim Antiguan ABST?

Yes. Non-resident businesses not registered for ABST in Antigua may reclaim ABST incurred on business expenses through a refund procedure. The process requires filing a claim with supporting documentation.

What is the penalty for late ABST filing?

Late ABST filing penalties range from XCD 500 to XCD 5,000 depending on the delay and company size. Interest on late payment accrues at the statutory rate.