Prime minister ‘conflicted’ over VAT decision

As of Thursday, February 13, 2014

By SANCHESKA BROWN

Tribune Staff Reporter

sbrown@tribunemedia.net

PRIME Minister Perry Christie said yesterday he is conflicted between moving ahead with Value Added Tax in his role as Minister of Finance and “listening to the people” in his capacity as Prime Minister.

Speaking in the House of Assembly during his mid-year budget statement, Mr Christie said as Minister of Finance he is moving ahead with VAT as scheduled. However, as Prime Minister he is not fully convinced VAT is the right thing for the entire country.

The Prime Minister said that earlier this week he had had a meeting with the Coalition for Responsible Taxation at his office and explained to them that if they or anyone else had an idea that was better than VAT, that neither he nor the Ministry of Finance would stand in their way.

“I will keep repeating this, bring your better idea, let me see what you say but I am also doing something and I want you to see what I am doing. But in the meantime, I say please remember this, I am the Minister of Finance and I am the Prime Minister, the Minister of Finance is not in this meeting, You are talking to the Prime Minister. The Minister of Finance wants to go ahead with VAT as indicated, all of the mechanisms are in place for VAT to move forward, that is the Minister of Finance, but you are talking to the Prime Minister and the Prime Minister will hear you and the Prime Minister has not joined with the Minister of Finance,” he said.

“The point that I was trying to communicate is that the government today has in place all that is necessary to bring VAT about as early as July 1. The question for us will be are you ready for the implementation of VAT? In the meantime, however, there has been a raging discussion in the private sector about whether or not VAT is the appropriate tax, whether or not 15 per cent is the appropriate rate. In that regard the private sector has argued, in some areas, for a payroll tax and we have had a number of persons speak to the significance of coming in at a rate lower then the 15 per cent established by the Ministry of Finance.

“I have told the Coalition that I will provide them with whatever information they will require to have their consultant complete their work in a timely fashion. It is not appropriate to belittle the efforts of the private sector as such I am open to receiving feedback on the outcome of their research, but as this is happening the technical work at the Ministry of Finance is continuing.”

Mr Christie said his only stipulation to the Coalition is that the persons they have hired to do their research have credentials acceptable to the international world “so there can be credibility attached to their recommendations.”

The Prime Minister said the Ministry of Finance is preparing for VAT, but he is still open to any other solution because at the end of the day the decision is his; and he wants what is best for the people of the Bahamas.

nationbuilder 10 years, 10 months ago

this man is psychotic

ThisIsOurs 10 years, 10 months ago

Oh you noticed that too? Halkitis must be still banging his head against the desk.

B_I_D___ 10 years, 10 months ago

'Conflicted'...in reference to PGC that is about the funniest dang thing I have read all day. The ONLY bright side to this 'new' confliction is that he is seeing and hearing the people finally speak louder than him with regards to VAT being the wrong form of taxation. But then again, the people spoke loudly about the numbers houses and he is dancing around that resounding no to make it happen despite what we said...so who knows...the man ain't right in the head, that is for sure.

sheeprunner12 10 years, 10 months ago

HOW DID WE GET HERE?????????!!!!!!!!!!!!

WHOSE SINS ARE WE PAYING FOR???????????!!!!!!!!!!!!!!!

SOMEONE NEEDS TO GO AND SEEK REPARATIONS FROM THE BAY STREET BOYS OR THE LOYALISTS.

jackbnimble 10 years, 10 months ago

"Conflicted"? All he has to remember is how the BATELCO debacle caused Mr. Ingraham the last election. If nothing else he should learn that you ALWAYS listen to the electorate - something that Mr. Ingraham failed to do. If you can't collect the taxes in the system now, how is it that another is being added to an already messed up system? And by the way, National Insurance (a.k.a the National Slush Fund of the Government) IS a payroll tax. Funds are deducted every week/month for foolishness and many persons never make a claim of may likely never get anything back. A payroll tax will only add to the wastage. Trust me, they will find some way to squander it.

Thinker 10 years, 10 months ago

Screw that, legalize numbers houses, tax them if you must!

ThisIsOurs 10 years, 10 months ago

That revenue will in no way account for deficit they have to make up. The numbers boys see that 40 million as the price of doing an underground billion dollar business. Would be the equivalent of you and I paying a dollar for a newspaper

Thinker 10 years, 10 months ago

It's one of the many possibilities of "voluntary taxation". While other countries are ending prohibition, we are spending money to catch smugglers, and letting all the gambling money leave the country. This is like the dark ages of government.

blackcat 10 years, 10 months ago

but you are talking to the Prime Minister and the Prime Minister will hear you and the Prime Minister has not joined with the Minister of Finance,” he said.

I think he needs to form a committee that evaluates whether or not this man's brain functions well enough to continue as PM. He can't think or talk straight.

ThisIsOurs 10 years, 10 months ago

Aaah boy...what a' gwan...

Reality_Check 10 years, 10 months ago

I had a non-Bahamian friend of mine who is both a highly qualified and experienced psychiatrist and psychologist (Ph D in both fields from Johns Hopkins) view a 20 minute video clip of the PMs most recent rantings in parliament. He was able to quickly conclude without any professional doubt whatsoever that PGC is suffering from a severe form of delusional psychosis brought on by prolonged mentally taxing efforts to rationalize the irrational combined with sustained internal strife resulting from repeated attempts at trying to justify the unjustified. Overall conclusion: Our PM is no longer able to discern right from wrong!

ThisIsOurs 10 years, 10 months ago

Ahah! I said it before, if Obama repeated his statements word for word, the secret service would haul him up so fast you couldn't say where you put me. He'd be flown straight to Johns Hopkins and hooked up to brain scanning machines for days...maybe years.

Honestman 10 years, 10 months ago

It's ridiculous that Christie has both roles.

242 10 years, 10 months ago

it's ridiculous that he is allowed to speak in the 3rd and 4th person

ThisIsOurs 10 years, 10 months ago

It's ridiculous that he's allowed to speak

nationbuilder 10 years, 10 months ago

laughing so loud!

GQ 10 years, 10 months ago

Well muddo, did I read what PGC said either he or I am stupid.

larry 10 years, 10 months ago

remember now this poor man suffered a stroke and his mental capacity may not yet have recovered i blame those around him who are taking full advantage of this

Thinker 10 years, 10 months ago

I thought he wasn't supposed to serve more than 5 years in the first place. I think plenty people are taking advantage of plenty people.

sheeprunner12 10 years, 10 months ago

Why does a Bahamian Prime Minister who has little financial acumen insist on being Minister of Finance???????????????

Reason: to control the cookie jar for his cronies!!!!!!!!!!!!!!!!

Look at how the USA prevents such an abuse of Executive power by the Prez

We have very little control over what the MOF does: Public Accounts Committee and the Auditor General's Office seem to be powerless

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