Government urges patience on income tax plan
Government plans to implement its promise to exempt people who earn up to $1.5 million from income tax.
Speaking on Independent Talk on Power 106 FM this morning, Senator Reid said the details of how the plan will be implemented will not be disclosed before the finance minister tables the new budget next week.
He refused to comment on whether the Government has identified the funds to plug the loss in income tax.
However, he insisted all Jamaicans will be satisfied when the plan is revealed.
Last week, Finance Minister Audley Shaw indicated that the Government was now looking for new avenues to plug the expected shortfall from the implementation of the income tax plan.
He said this had become necessary as the money from the special gas tax which he intended to use to finance the plan was placed in the Consolidated Fund instead of being set aside in a special fund.
The Holness administration had hoped to get $9.5 billion from the gas tax to fund the income tax policy.
However, the Sunday Gleaner cited parliamentary records showing that Shaw was told about this from last year.
The president of the Micro, Small and Medium Enterprise (MSME) Alliance Donovan Wignall, has called for Shaw to apologise for suggesting he did not know the tax would have gone to the Consolidated Fund.