Chamber Says Tax Loophole Still Exists

Details

Economy

Tuesday, 13 March 2012 02:30

By caribarena news

Antigua St John's - For government to successfully and effectively move forward with closing the loopholes in its income tax collection legislation, it must first put a cap on a particular section that self-employed professionals have capitalized on since 2004.

Holly Peters, executive director of the Antigua and Barbuda Chamber of Commerce, said some members are sure that the same people who escape the tax net today, will continue to escape after the April 2 implementation of the proposed taxes on allowances and benefits. She said she could have evidence of this as early as Tuesday.

At a Chamber of Commerce breakfast forum addressing the subject on Monday, Peters asked Finance Minister Harold Lovell whether he was aware of the loophole that still exists.

Minister Lovell said he could address the issue in “the long way or the short way,” but opted to deny knowledge of the gap, and assured that all the relevant ground has been covered in the 2005 laws.

Peters said a number of self-employed professionals who have discovered the loophole could still be capitalizing on it. She cautioned the minister that her source was reliable and promised to dig deeper to solidify the claims.

“If you want to make changes, you have to get it right. And you have to get it right before you bring this thing in…” Peters said about the government’s approach.

The executive directive told the minister that based on information reaching her through her members, there are still some people in the self-employed category who are not paying their fair share of taxes. And a close look at the regulations could make clear a loophole that gives these individuals “the option to pay or not to pay”.

Peters said she was prepared, if necessary, to go out in her capacity as executive director and hunt for a lawyer prepared to sit with her and say exactly what the law states.

Information received at the Chamber breakfast suggested that to address the loophole in question, the attorney general has to make the necessary arrangements.

“The act is there, but there is something that the attorney general has to do to put into effect…” Peters said in her attempt to explain the nature of the perceived escape.

‪When contacted, Attorney General Justin Simon said he would speak with Lovell about the matter.‬

• < Prev
• Next >