While I agree that the Government could have looked at other areas to plug the Budget gap, one can understand that in the short term, there are not many choices.

However, the underlying question I would like to ask is, are Jamaicans paying their fair share of taxes to begin with? The obvious answer is no. That is why I would have preferred to see a comprehensive push for compliance in order to get every single Jamaican to pay his fair share in taxes. For example, the former minister of finance asked a question in Parliament last Thursday about how the Government was going to collect tax at the market. A simple answer to that question is, when the higgler files his/her tax return.

While one can argue that raw foods should not be taxed, a fundamental question is, is it OK, because you are a higgler, you should be exempt from paying taxes? Every individual who earns an income should file a tax return. It does not matter how it is earned, it should be taxable. As alluded to above, if every higgler filed a return, the tax department could look at his/her sales figure above the threshold and remove the GCT from that - quite simple in my view.

Not a requirement

However, it is not a requirement that every individual file a return in Jamaica, or if there is, not everyone complies. Which leads to another question. Why should some people pay for all to enjoy? Many are calling for more taxes on the rich. Are the rich exempt from these current taxes? They are not, and they pay more in taxes than the poor man, simply because they consume more. So get off the rich, and blame the politicians who bankrupt the country with this relentless borrowing!

In light of this, I would encourage the Government to introduce a GCT rebate for people with low incomes, which would be calculated and payable in quarterly payments in conjunction with their income-tax return. Also, I think it is time to re-examine seriously an introduction of a progressive tax system, which is a better way of getting those who earn more to pay more. That said, it is important to note that without a high compliance rate among the population, none of these measures will work.

Last, if it remains a contentious issue in January, call an early election, which I am sure the Jamaica Labour Party will lose, unless most Jamaicans have realised by now that there is not much of an alternative. Or if they favour the alternative, then it simply means giving back the People's National Party the mess that they created. Let them solve it!

I am, etc.,

AUDLEY GILPIN Jr

audleygilpin@yahoo.com