On 30 July 2026, the Ministry of Finance of Trinidad and Tobago released a Media Release detailing the tax framework applicable to hybrid and mild hybrid vehicles. The release clarifies that from 30 July 2026, hybrid vehicles will be subject to an excise duty of 15 % of the vehicle’s value, whereas mild hybrid vehicles will incur a reduced rate of 10 %. Additionally, a value‑added tax (VAT) of 15 % will be applied to the taxable base, consistent with the standard VAT rate. The notice also outlines documentation requirements for manufacturers and importers, including the submission of a revised tax calculation sheet within 14 days of vehicle registration. Key compliance dates are highlighted: registration declarations must be filed by 15 August 2026, and any adjustments to previously lodged returns must be submitted by 15 September 2026. The release further emphasizes that failure to comply may result in penalties of up to 5 % of the assessed tax liability. Businesses are encouraged to review their fleet composition, update accounting practices, and engage with the Customs and Excise Division for guidance. This guidance aims to promote greener transportation while ensuring revenue stability.
Key Takeaways
- Excise Duty Rates: Hybrid – 15 %; Mild Hybrid – 10 %, effective 30 July 2026.
- VAT Treatment: Standard 15 % VAT applies to the taxable value.
- Compliance Deadlines: Registration declarations by 15 August 2026; amendment submissions by 15 September 2026.
Source: Read Original Announcement