Prime Minister Kamla Persad-Bissessar on Friday afternoon announced that the Government will move to exempt pension payments and approved deferred annuity income from income tax, describing the measure as a key reform aimed at improving financial security for retirees.

Speaking in the House of Representatives, Persad-Bissessar said the proposal will be included in the upcoming Finance Bill, 2026, and forms part of a broader commitment to easing the cost of living and delivering on campaign promises.

The exemption will apply to income received from approved pension fund plans and approved deferred annuity plans under the Income Tax Act, Chapter 75:01.