PPP kept promises to reverse taxes – Minister Teixeira
− billions of dollars returning to Guyanese
Minister of Parliamentary Affairs and Governance, Hon. Gail Teixeira defended the Government’s move to reverse taxation imposed by the former administration, saying the PPP/C Government wants to return spending power to the people.
The Minister’s assertion came during her Budget debate presentation on Friday at the Arthur Chung Conference Centre.
“The VAT in 2017, it cost the Guyanese people $5.2B in disposable income. By us removing the imposition, zero-rating items, new fees and licences imposed in 2016 and 2017 budgets, we are in fact returning in excess of $5.2B in disposable income to Guyanese people which is approximately $31,200 for every household,” Minister Teixeira noted.
The Minister said removing VAT on essential services such as data, and commodities like water and electricity would stimulate the economy.
“By removing VAT on data, we are returning $1.3B to the pockets of average Guyanese annually. We have removed another $469M in terms of reducing the cost of licencing and permits annually. This $469M will return to the pockets of Guyanese people. By removing the VAT on water and electricity, it will return $2.6B to Guyanese annually. Between October and December alone, it will return $616M to the Guyanese people. That will increase their purchasing power, putting money in their hands,” the Minister said.
Businesses have not been left out. The Minister said,
“By restoring the zero-rated VAT for capital equipment in mining which is a critical area, $1.3B will be returned to miners annually.”