British Virgin Islands

Saturday, Dec 04, 2021

Trade license revenues surpass $1M following fee increases

Trade license revenues surpass $1M following fee increases

Revenues from trade licenses have increased to more than $1 million—up from $906,000 earned in 2020.

According to Premier Andrew Fahie, who gave that update during his budget speech last week, the news is an encouraging sign for aspirations of growing the BVI’s small business sector.

The announcement comes on the heels of legislation brought to the House of Assembly (HOA) to increase the fees. Under the said legislation, Business Licensing Act (2020), Belonger licence fees now range between $150 to $1,500 — previously $25 to $200 — while non-Belongers now pay fees ranging from $1,500 to $15,000; previously $200 to $600.

At the time, government announced that its Business Licensing Act (2020) will eradicate “fronting” — something often done by persons who want to circumvent the law when opening new businesses in the territory. In the BVI, fronting is said to happen when a non-Belonger seeking to open a new business, partner with a BVIslander to avoid expensive licensing fees and the overall process BVI laws set for foreign business owners.

BVI on our way back

In framing the perceived gains, Premier Fahie said when the pandemic struck in March 2020, government took some decisive measures which, although acknowledged as tough, were aimed at protecting the lives and livelihood of the BVI’s people and its economy from catastrophic damage.

“The stimulation of the economy through various measures assisted in reducing some financial burden on our systems, while creating opportunity for business ideas, innovative operations, and boosting activities where possible.”


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