Government determined to implement urgent VAT relief measures
Guyana Chronicle
January 20, 2007
THE government yesterday expressed its disappointment with the decision of the Opposition to contest a motion in the National Assembly which provides for urgent Value Added Tax (VAT) relief for consumers.
The Government Information Agency (GINA) said the motion, which was moved by Minister within the Ministry of Finance, Ms. Jennifer Webster, requested the use of Standing Order Number 53, which allows the government to have all three readings of an amendment the same day.
Minister of Health Dr. Leslie Ramsammy, who spoke on behalf of the government yesterday, said the “People’s National Congress Reform and other social groups have always said that we need to take urgent actions to remedy situations which are deemed vital.”
He explained, “We were attempting to amend the VAT Act in such a way that the Minister can work directly with the GRA to make adjustments on an immediate basis.”
This, he said, was intended to prevent the government from having to return to Parliament at a much later date.
According to GINA, he said the government is determined to uphold its promise to monitor the VAT system with a view to making appropriate adjustments when necessary.
Ramsammy, it said, noted that this spirit was demonstrated in the latter part of 2006 when the government revisited and amended the legislation to include several food items in the zero-rated category.
“We don’t need to be caught up in this bureaucracy,” the minister said, pointing to the urgent need to remove VAT from some services.
He added that the PNCR previously advocated that the government should retain the right to amend the standing order in certain emergencies, noting that this is one such case.
GINA said the Opposition’s non-cooperation will enforce the postponement of the amendment to a date not sooner than 10 days away.