Pierre Clears Air on Tax Amendment Bill

Tuesday, Jan 23

P

rime Minister Pierre has addressed the controversy surrounding the Tax Administration Amendment Bill, clarifying that the Ministry of Finance is currently engaged in the amalgamation and modernization of 12 laws related to taxation.

According to the Prime Minister, this comprehensive process commenced in 2020 during the Allen Chastanet Administration, as per a Cabinet Conclusion numbered “1511.”

First and foremost, I want to make it clear that the draft bill in circulation was initiated during the term of the United Workers Party Administration as evidenced by Cabinet Conclusion number 1511 of 2020. The cabinet that I lead has never seen the draft bill now in circulation. It is clear. It is my understanding that consistent with our approach of transparency, dialogue and open government, the draft bill prepared on instruction from the former prime minister is open for public discussion,” the Prime Minister explained.

As of now, the consolidated document is undergoing public consultation and scrutiny at the Ministry of Finance. Prime Minister Pierre emphasised that neither he nor the Cabinet has officially received or reviewed the document. This clarification aims to provide context to the ongoing discussions and dispel any misconceptions surrounding the Bill.

The United Workers’ Party, however, has taken to social media to express their dissatisfaction with the Prime Minister’s response. The political party is doubling down on its assertion that the amendment will empower the Inland Revenue Department to seize homes for unpaid taxes.

Prime Minister Pierre, in a retort, says his administration’s position on taxation is “clear”.

My government's policy on tax is clear. We have increased the tax threshold to $24,000, meaning that anyone who earns $2,000 or less per month pays no income tax. My government has given the most generous tax amnesty in the history of Saint Lucia, where all forms of fines, penalties, and interests have been cancelled on all outstanding tax arrears, including VAT,” the Prime Minister says.

Pierre says the public will be updated regarding the amendment in due course. “It is commendable that civil society is discussing the draft bill now in circulation, which will no doubt lead to the presentation to Cabinet of a discussed document.”

Opposition Leader Allen Chastanet has not yet addressed the 2020-dated cabinet memo issued during his administration.