THE negative reaction to the new goods and services tax in Jersey will prevent a similar strategy being introduced in Guernsey, according to John Gollop.
He was in favour of introducing the tax when the States discussed it during the zero-10 debate.
‘The reaction in the short term in Jersey makes it very unlikely that Chief Minister Lyndon Trott and Treasury minister Charles Parkinson would wish to implement the legislation that we approved in principle during the zero-10 debate, which was to put a GST law on the books as an unpopular option for the future,’ he said.
An anti-GST political party, Time 4 Change, has been formed. It seeks the reversal of the tax and has called for all politicians who backed it to be removed from office.
‘They are looking for blood at the next election which is less than a year away,’ said Deputy Gollop.
The 3% tax on all goods and services was introduced on Tuesday to help combat Jersey’s ‘black hole’.
Deputy Parkinson said he was firmly against introducing such a tax.
‘I don’t want to see a GST in Guernsey,’ he said.
‘I will strive to avoid it, but we have to balance our budget to generate revenue finances to sustain the considerable costs of capital projects this island must undertake.’
It was claimed in the Jersey Evening Post that the island had lost its status as a tax-free jurisdiction because of GST, but Deputy Gollop said he didn’t agree.
‘Jersey has a much more generous package for low-income earners, it has more generous welfare payments and much bigger personal allowances,’ he said.
‘It also has lesser income tax demands on lower to middle earners.
‘I would also make the point that both Jersey and Guernsey have had a sales tax in all but name on items such as mortgages, properties, petrol, tobacco and alcohol.’
Article posted on 12th May, 2008 - 1.00pm
Loading ...
Most Commented: