Pensioners breathed a sigh of relief yesterday after Prime Minister Kamla Persad-Bissessar announced that Government will scrap income taxes on pension payments, a measure previously outlined by Finance Minister Davendranath Tancoo in the national budget.

During his budget presentation last October, Tancoo signalled the move to remove taxes on pension income, but there had been little public update from the Government on its implementation until yesterday in Parliament.

Delivering a statement in the Parliament yesterday, Persad-Bissessar said the measure will be formalised in the upcoming Finance Bill and applied retroactively to January 1, 2026.