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Story Highlights

  • Dr. Phillips says it is not the intention of the Government to increase the revenue earned from petroleum-based products.
  • His comment came as a result of much public debate surrounding the issue of revenue needs for the next fiscal year.
  • The Minister informed that Tax Administration Jamaica will be implementing the third party information provisions of the Revenue Administration Act, 2013, on a phased basis.

Minister of Finance and Planning, Dr. the Hon. Peter Phillips, says it is not the intention of the Government to increase the revenue earned from petroleum-based products.

His comment came as a result of much public debate surrounding the issue of revenue needs for the next fiscal year, and the study being conducted regarding the possibility of a tax on petroleum products by way of the General Consumption Tax (GCT).

“Some of this debate reflects genuine concerns; some of it perhaps has other objectives. Let me be clear however; the issue concerns the relative merits of collecting the tax on fuel by way of a special consumption tax (SCT) as we do now, or by way of GCT. There are merits and disadvantages related to each approach which we need not go into here at this point,” Dr. Phillips said.

Speaking in the House of Representatives, on January 28, Dr. Phillips noted that the focus of the Government going forward is maintaining the basic fiscal targets, including the primary surplus target of 7 1/2 per cent, which may require adjustments either on the revenue or expenditure side.

Meanwhile, the Minister informed that Tax Administration Jamaica will be implementing the third party information provisions of the Revenue Administration Act, 2013, on a phased basis.

“The new financial year, starting April 2014, businesses in selected sectors will be required to submit detailed information relating to their depositors, independent contractors, suppliers and business customers,” Dr. Phillips said.

Tax reform is a critical component of Jamaica’s economic reform programme and remains a priority of the Government.