Opposition calls for computer-tax rollback

Published: Wednesday | June 24, 2009



Paulwell

Prime Minister Bruce Golding yesterday scoffed at a repeated request from the People's National Party (PNP) to roll back the 16.5 per cent general consumption tax imposed on computers and computer parts.

The Government had imposed the tax in April, a move for which it was sharply criticised.

Speaking in the 2009-2010 Sectoral Debate in Parliament yesterday, Phillip Paulwell, opposition spokesman on energy and telecommunications, said the decision by the PNP administration five years ago, to abolish the tax on computers, was "a most enlightened step".

He said the reimposition of the tax is "a most retrograde step".

"I hope the minister of finance will come back to this House shortly to report that the expected revenues are not being materialised as people are no longer purchasing computers and move to, once and for all, abolish the tax again," Paulwell said.

However, Golding was moved to comment while Paulwell was still on his feet.

"Roll back? All the banks and insurance companies too ... you see how much profit they made last year ... over $1 billion," the prime minister muttered from his seat.

He added: "No, it will not be abolished. Poor people pay too much taxes."

Government in April imposed a tax on computer and computer parts as a means or raising revenue for the national coffers. Items being purchased by an approved educational institution are not subject to the tax.