WILLEMSTAD - Entrepreneurs in Curaçao have shown notable improvement in timely tax payments over the past few years, according to a recent analysis by the Tax Authority. The increase applies to both monthly remittances of Sales Tax (OB) and Payroll Tax (LB).
Enhanced monitoring tools, including dashboards used by the Tax Authority, allow collection agents and bailiffs to act more swiftly when businesses fail to meet their tax or social security contribution deadlines, according to the Ministry of Finance.
"Before the COVID-19 pandemic, the percentage of timely payments stood at 74% for OB and 79% for LB. During the pandemic, these figures dropped to 66% and 73%, respectively," stated the Ministry.
However, a steady recovery has been observed since 2021. As of 2023, an average of 84.5% of entrepreneurs pay their OB on time, while 90.6% meet their LB obligations within the deadline.
The increase in timely payments has led to higher tax and premium revenues, strengthening the government's fiscal position. The Tax Authority continues to collaborate with the Social and Economic Council (SBAB) to further improve compliance with monthly OB and LB remittances.