The great multi-million dollar VAT tax rip-off

UPDATED: June 1, 2012

A BPF regular asks…

“Dear friends at BFP,
 
It would be interesting to ask WHAT proportion of the increased VAT collected came from the higher electricity and fuel (petrol, diesel etc) prices and did this make up for the much lower level of corporate taxes paid over this period.
 
Just asking!”

Where does the Finance Minister think this money comes from?

by Colin Leslie Beadon

“Vat Increase brings in Millions” crows the Minister of Finance, headlines Advocate May 30th. And where does he think these millions come from. His crowing is a disgusting abomination. The millions don’t come from the European Union, or the Canadians, or the USA, China, or Russia. These millions come from you and me, dear citizen, from the wealthy, the poor, and the in-between. But they hit the poor and the middle class the most, and these are the backbone of the Island.

And just where will all these ‘millions more’ go?

That is the prime question. They won’t go to pay back what has been taken out of the N.I.S. National Insurance Scheme. Oh no, never happen, they won’t go there. They will go into making more committees, to accomplish more nothings, and other such frugalities. They won’t go into helping us grow our own food, or put more money in the pockets of working people, nor into the pockets of the average citizen, because that is where the extra VAT is coming from and who it is effecting the hardest.

In other words, it is a political way to rip off the citizens of this island, and, …. get away with it.

Further Reading

Hey folks! You know we don’t like to re-print entire articles from other sources, but with The Nation and The Advocate we have to because they regularly modify and delete stories to suit the changing agendas.

Please go to The Nation to read $1.3b in VAT

… but if it is not there, you can read it here:

$1.3b in VAT

BY RICKY JORDAN | WED, MAY 30, 2012 – 12:10 AM

Amid enthusiastic desk thumping from Government MPs, Minister of Finance Chris Sinckler yesterday announced a healthy haul of $1.3 billion in value added tax (VAT) over the past 18 months and a dramatic slashing of the country’s fiscal deficit.

VAT’s outperformance of Government’s projections, Sinckler argued, was consistent with the progress of Barbados’ economy from recessionary trends onto a growth path.

The minister made this assertion while introducing in the House of Assembly the Value Added Tax (Amendment) Bill which will extend the original 18-month increase in VAT from 15 to 17.5 per cent until further notice.

The move met immediate rejection from Opposition member, Mia Mottley, countering: “If you have performed better than anticipated, one would have expected there would be relief to the people of Barbados and not be hearing ‘until further notice’.”

15 Comments

Filed under Barbados, Consumer Issues, Economy

15 responses to “The great multi-million dollar VAT tax rip-off

  1. 189

    Chris Sinckler, a big nasty man and a better crook.Pigs dont know when to stop eating

  2. what will they think of next

    sounds like you are talking about the Barbados Labour Party.

  3. Sunshine Sunny Shine

    Very interesting points that holds some validity with respect to the way government commits tax payers dollars. Both administrations, pass and present, seem to have a negative outlook and aversion to Agriculture hence the lack of serious input into its development. When you look at the food import bill for certain commodities that can be produce here, you wonder what are the factors that would force producers and those involve in the food production and retail sector to want too import. Government must get serious about Agriculture and understand its importance as a major link to national development. What ever has become of the proposed plans for a Food security and Food safety authority in Barbados. We are losing vast sums of foreign exchange because we cannot sell nothing to cruise ships or certain big up hotels. Why do we appear to be so forward when our approach to things of importance is so backwards ? What are the reasons we are not growing more corn; more lettuce; more carrots; raising more livestock. What are the reasons? What really is the role of the Ministry of Agriculture if government is only willing to commit 1.7 or what ever it is that minister Estwick cited, of its financial allocation to this mininstry. Sounds to me like there is no real purpose for this mininstry with all its degree holders. I love my island and the progress it has made over the years. But I am sorry to say that the small island mentality and box thinking continue to prevails.v HOW ELSE CAN EXPLAIN GOVERNMENTS TENTATIVE LAID BACK APPROACH TO AGRICULTURE

  4. Anon2

    What percentage of our population works in agriculture? What percentage are interested in working in Agriculture?
    Is there a stigma attached to agricultural work and do we feel better about ourselves working in a nice a/c office?

  5. Satirist

    I would say under the british you would have a better life. They have done a lot for his Island and still do. Your own people rob you and do nothing for you. Make fire under their ass. Go to the streets and chanted: “We want the British back”, “We want the British back”, “We want the British back”! That would wake them up. Then you will see them the first time to run, the face pale in shock.

  6. Mac

    Two (empty with no work going on) buildings at Warrens funded by the NIS to the tune of $100million dollars. Four seasons funded by NIS to the tune of $60million (BDS or US??) dollars. Tax payer well and truly screwed all-round!!!

    VAT increase increases cost of of living. Contrary to DLP pledge at the last election. Time for a change to send a message. Do what you say or go

  7. Sunshine Sunny Shine

    Anon 2

    Good points. If there is a stigma attached to agriculture is it derived from the days of the plantocracy? Are we ourselves making agriculture unattractive when in the rest of the civilized world agriculture has provided many a farmer with some nice lucrative returns. If blame is to be cast were do we cast it? At the feet of our government? At ignorance of our people? And when the blame is done laid what can we do to show that agriculture is quite a viable endeavour that can produce great returns on any investment. My own problem with my latter statement is if this is exactly true for Barbadian farmers.

  8. Beg all wunnuh like...

    “We want the British back”…is one thing BUT
    The British don’t want the Barbados millstone back,
    no matter how much we beg-back!

    They don’t want-back none of these islands they successfully divested themselves of, some decades ago.

    They gladly gave us our independence:
    we didn’t have to drive a stroke of work or fight, for it.

  9. Mark Fenty

    I hope you’re kidding my friend; or it is some kind of comical buffoonery on your part? No we don’t want the British back, we want they science and technology to help us advance our sense self- determination, and nationhood.

  10. Mark Fenty

    The problem with the Caribbean and Africa today is that ; we are still enveloped in a cycle of dependency. Take a look at Asia today, and the kind of economic prosperity she has been able to achieve. Asia had been
    suffocated by the same kind economic colonialism as did Africa, South America, and the Caribbean, but today is one of the world leading economy. Should I ask how might this have happen?

  11. yatiniteasy

    The Brits outsmarted all the Caribbean Governments…they willingly gave them their Independence , thereby cutting their costs of development, highways, hospitals, water supply, etc…even their British dressed Governor Generals are not paid by them.Then, the Brits came back and bought up all the best land…seaside properties, at rock bottom prices. Now locals simply can not afford to buy land on the coast, and even inland land prices have been driven up by the returning British invasion to the point where young families find it impossible to save or borrow enough to purchase even a small house spot.

  12. Menanah

    yes the British bought up all the BEST land at rockbottom prices.Which at the time happened to be “the going price”
    Happily “unloaded” on “de red men” by the smart locals who never had any use for some swamp up arourd Speightstown
    So therefore considered 5$ a square foot for land that a local would not even buy,a very good deal.”Dem don outsmart demself”
    Walk bout de place “skinnin dey teef
    But as time does, it did and moved on ,taking prices with it.
    NOW “who shout TIEF louder than a TIEF”
    SHOOT man that 5$ land now (20 years later) worth 400$ a foot.
    OH WOE IS ME aint “skinnin de teef nah more”
    OK lets pass a law saying NOBODY only locals can own land.
    WHAAA/
    Where you think I can lay hands on the crazy prices the BRITISH pay.
    That land aint worth that sort a $,s
    Seems like the circle don closeup.
    Back to the start.
    But at least we can afford to buy land again as priced at NUFFIN again.Well we could if we had work,but the crazy Redmen don gon and buy Land in Cuba.So I out of work.

  13. Menanah

    I want to be a P.M
    Have a lota fun,
    Wake up in de mornin nuffin to be done.
    make a speach bout de place
    shake a hand kiss a face
    get back to laro court
    eat de grub de people bought
    OH de niggeritis overcomin me,
    rest my mind, wait and see wait and see!!
    Dis P.M business killin me.
    AH don wanna end up dead
    so I guess I catch some ZZZds instead.

    Wake me intime for de election..
    or
    if the economy collapse
    or
    Anybody don have his fingers in the cookie jar
    or
    if some serious state business need urgent action
    Nah on second thoughts ,on that one call de Deputy P.M.
    IF he awake!!

    PS Last one leaving TURNOUT DE LIGHT.

  14. US citizens are as bad as the Greeks..
    All of this tipping and working for tips with low wages is nothing but a way to avoid paying tax..
    About time Americans and tourists woke up to the scam and stop rorting the system and stop supporting it by not paying tips..

  15. why did now Uncle Owen start the VAT at 10%. Better yet why if things were so good did he sell ICBL and BNB? Sir LLoyde did not do so . Hum..the vat save his face .a good macro economic plan that was place by Sir LLoyde just that with high prices in the world it has hurt us.