GST-Free Weekend Brought Out Shopping Rush Ahead of Christmas

Belizeans flooded stores across the country over the weekend as the GST-free shopping days ahead of Christmas got underway.

Images from retail centres showed extended checkout lines, packed parking areas, and shoppers filling carts as they made use of the temporary tax break. Under the programme, consumers can purchase standard-rated goods without paying the usual 12.5% General Sales Tax.

The GST-free initiative was introduced last year to help ease household expenses during the festive season while encouraging spending at local businesses. Several items remain outside the waiver, including fuel, alcohol, cigarettes, firearms, and services.

The programme has previously resulted in reduced government revenue. Last year, the estimated loss stood at around five million dollars. Financial Secretary Joseph Waight said earlier this month that increased consumer spending helped cushion the impact.

Meanwhile, some shoppers are claiming that prices on shelves are being manipulated just before the GST-free weekend took effect. “It seems some establishments raised the price of their goods to match the GST price, so it’s like paying the same price of the item with GST included,” one shopper said online.

Another claimed, “I went to buy a Christmas tree that I had asked the price of a week ago, which was $75…so I went yesterday because it was tax-free…the manager said they are not doing tax-free because the tree is already on 50% discount. Big shops always find a way around to chance Belizean people, so I no believe in this tax free weekend.”

Shoppers are urged to check the receipt at the time of purchase to ensure that the GST deduction is correctly applied. Any discrepancies can be directly reported to the Belize Tax Service Department.

Figures on the revenue impact of this year’s GST-free weekends are expected to be outlined in the government’s next quarterly financial report.