– “I haven’t seen it – I haven’t read it,” I can’t clear what I didn’t initiate.” ~ Philip Pierre.
By Caribbean News Global contributor
CASTRIES, St Lucia – Prime Minister and minister for finance, Philip J. Pierre on Friday, January 19, 2024, endeavoured to address the Draft Tax Administration and Procedure Act, which has garnered attention internally and externally.
Who prepared and what is the purpose of the Bill?
“This Bill was prepared on instruction by the former government with the following instructions,” Pierre explained: “To harmonize the administrative, collections and penal provision of the various pieces of legislation that are currently administrated by the Inland Revenue Department (IRD).”
The components of the ‘Draft Tax Administration and Procedure Act’ have internal and external rigid requirements and objectives; however, the finance minister did not elaborate on how to make it better.
The politics
“My government has absolutely no input in that Bill,” said Prime Minister Pierre, at the press conference, on January 19, 2024. “My cabinet has not seen that Bill.”
The challenge, however, is creating an accurate political narrative to this unusual undertaking.
The prime minister advised:
“That Bill is being circulated with our position on transparency and accountability and is being circulated for public discussion.”
Prime Minister and Minister for Finance, Pierre, continued, in many forms, depending on the understanding and information needs presented at the press conference.
“It has not come to cabinet,” the prime minister stressed. “ It has not been approved, he opined. “It is not our creation. It’s a creation of the former government.”
[…] “I can’t clear what I didn’t initiate,” the prime minister noted, leaving an “atmosphere for further speculation.”
Anonymous January 19, 2024 At 4:09 pm
“Pierre, give me a freaking break. A bill was drafted but not in circulation. You have stopped other things before. If you had any intention of stopping the bill, why did you even circulate it? Another one of your tactics, but in the end, you just insult the massive thinking they are stupid.”
Concerning the prime minister’s declaration that the Bill in circulation “has not come to him,” in retrospect, serves the curiosity that the technocrats of the Bill – “Public Officers” – were not present for “interpretation and reassurance,” – with the easy of understanding.
In compliance with reliability and consistency, the prime minister was unable to cut the chase and communicate that his administration is not interested in the Bill. And proceed to affirm the current administration’s tax policy.
“To ensure that we are compliant with international regulations as they relate to international taxation, and to attract the right types of investment, the government of Saint Lucia will undertake a comprehensive revision of its tax policies and legislation. ~ Budet address 2023/2024.
Regardless, the political arguments of blame continued to emotions of politicos, and a raucous press conference that served no progressive value to financial and tax reporting, and the governance of Saint Lucia.
The key points and focus to dispel the ‘Draft Tax Administration and Procedure Act’ – can be sliced and diced; meantime, the primary components and focus are lost in translation, coupled with a flagrant waste of taxpayer’s time and money.
The underlying obligation to respond to positive and negative news, for example, the ‘Draft Tax Administration and Procedure Act’ is foremost to provide accurate information and dispel any misconception.
In response to a reporter’s question:
What is your personal opinion of the Bill? Prime Minister Pierre replied: “ I do not know – because I have not seen a draft from the IRD.”
As to another reporter’s question:
What are your thoughts on that [Bill]? Prime Minister Pierre, replied infactly: “I haven’t seen it – I haven’t read it.”
The full text of the prime minister’s statement reads:
Tax Administration and Procedure Bill for review and discussion – SEPTEMBER, 2023
“First and foremost, I want to make it clear that the draft bill in circulation was initiated during the term of the UWP administration as evidenced by Cabinet Conclusion No. 1511 of 2020.
The Cabinet conclusion reads:
‘Cabinet considered a Memorandum dated 13th November, 2020, submitted by the Department of Finance and approved the request for creation of the Tax Administration and Procedures Act to harmonize the administrative, collections and penal provisions, of the various pieces of legislation that are currently administered by the Inland Revenue Department’.
Further by Memo dated December 3, 2020, from the Ministry of Finance, Economic Growth, Job Creation, External Affairs and Public Service headed by the former prime minister states:
‘The Department of Finance wishes to inform that Cabinet by Conclusion no. 1511 of 2020 considered a memorandum dated 13th November 2020, submitted by the Department of Finance and approved the request for creation of the Tax Administrative Procedures Act to harmonize the administrative, collections and penal provisions, of the various pieces of legislation that are currently administered by the Inland Revenue Department. The aforementioned is for your attention and necessary action.’
It is clear that instructions for preparation of the draft bill came from the former minister of finance. Let me inform the public of Saint Lucia that the cabinet which I lead has never seen the draft bill now in circulation.
It is my understanding that consistent with our approach of transparency, dialogue and open government the draft bill prepared on instruction of the former prime minister is open for public discussion.
My government policy on tax is clear. We have increased the threshold to $25,500. Anyone who earns less than $2,5000.00 annually pays no income tax.
My government has given the most generous tax amnesty in the history of Saint Lucia, where all forms of fines, penalties and interest have been cancelled on all outstanding tax arrears including VAT.
It is commendable that civil society is discussing the draft bill now in circulation, which will no doubt lead to the presentation to cabinet of a discussed document.
“I urge the public, to take the opportunity to settle their outstanding taxes by May, 2024.”
