The Government has moved to significantly reduce the tax burden on workers and small property owners, announcing major tax relief measures in Budget 2026 aimed at increasing disposable income and easing household financial pressures.
Presenting the budget on Monday, Senior Minister in the Office of the President with responsibility for Finance, Dr. Ashni Singh, said the monthly income tax threshold was increased to $130,000, effectively removing thousands of workers from the tax net.
“In 2025, the monthly income tax threshold was increased to $130,000, removing 22,000 workers from the tax net and making over $8.5 billion in additional disposable income available to taxpayers,” Singh told the National Assembly.
He noted that the adjustment resulted in the income tax threshold being doubled from where it stood when the PPP/C Government returned to office in 2020.
“This resulted in the income tax threshold being doubled from $65,000 monthly, where it was when we resumed office in 2020,” the Finance Minister said.
In addition to income tax relief, the Government also doubled the property tax threshold, increasing it from $5 million to $10 million, a move expected to benefit homeowners and small property holders by reducing their annual tax liability.
The tax measures form part of a broader policy thrust to ensure that economic growth translates directly into improved living standards for citizens.
Singh said the Government has consistently pursued progressive tax policies alongside wage increases and cash grants to strengthen household incomes and support economic participation.
“These measures strengthened household incomes and eased the day-to-day pressures for families countrywide,” he said.
Budget 2026 was presented under the theme “Putting People First,” with the Government signalling that tax relief will remain a key tool in ensuring that national prosperity is felt at the individual and household level.
