Halkitis accuses FNM leader of pandering over his stance on VAT

By SANCHESKA BROWN

Tribune Staff Reporter

sbrown@tribunemedia.net

STATE Minister for Finance Michael Halkitis yesterday accused FNM Leader Dr Hubert Minnis of “pandering” to the emotions of the Bahamian people by making “outlandish promises” he cannot keep “just to be re-elected”.

Mr Halkitis told The Tribune it is “laughable” that Dr Minnis now has “so much to say” about value added tax (VAT) and its implementation, when he “and the rest of the FNM” offered no input during the debate in the House of Assembly.

His comments came a day after Dr Minnis, in his New Year’s address to the nation, said his party will introduce an “annual tax-free day” in August, if the FNM is elected in the next general election.

Dr Minnis also said that if elected to government, his party would introduce “tax-free zones for the revitalization of Over-the-Hill, the inner city and depressed areas”.

He also said his party has set up a committee to look at repealing certain categories of VAT.

Mr Halkitis said Dr Minnis should be attempting to work “hand in hand” with the government instead of disagreeing for disagreeing sake.

“Dr Minnis was in the Cabinet from 2007 to 2012, where they saw annually government revenue decline. So he has a good appreciation of the revenue system and was well aware that it needed reform and they did nothing about it. We came in, we saw the need for reform in order to protect the economy and made the hard decision, after research, studying, advice and consultation, we made the hard decision,” he said.

“Now VAT has been rolled out smoothly with very little hiccups. Now he comes after the only input they had was to criticize and attempt to derail it to now offer suggestions. VAT-free days are not something that this government is looking at (now) and we have reasons why we did not cherry pick which items to exclude from VAT. Truth is, businesspersons as well as our advisors told us having exemptions would make the system more complex and more complicated and that was something we did not want to do.

“Dr Minnis is pandering to the public, when in fact the public needs an honest discussion on what had to be done. He is using gimmicks now to sway the public because the sky did not fall after VAT as he predicted.”

Dr Minnis also said the FNM will create a special VAT unit headed by Deputy Leader Peter Turnquest to address the public’s VAT issues and concerns.

Mr Halkitis said it is “irresponsible” of Dr Minnis to encourage members of the public to contact the FNM’s VAT unit rather than contact the relevant government agencies.

“We have a VAT Compliance Unit and a Price Control Unit where people can bring their concerns. I would advise Dr Minnis and his team to stop being so irresponsible and work along with the government to move this country forward.”

Mr Halkitis said the government will continue to reduce customs duties and review other taxes in the country with a view of “bringing them down”.

VAT was implemented on January 1 at a rate of 7.5 per cent.

Comments

jlcandu says...

Mr. Halkitis,

You are being very disingenuous. The reason why the FNM didn't have much to say with the VAT legislation before it was passed was because you only allowed ONE DAY for debate for the complicated tax and you limited the time members were allowed to make a contribution, in order to pass the law in the middle of the night like the cowards you all are.

I don't know what planet you live on, but VAT did not roll out smoothly since YOUR staff at the Ministry of Finance respond to questions differently on the same issue, depending on who you ask. Your staff are NOT well trained since you sent out changes to the legislation on Christmas Eve, the 11th hour. Now that some people have had a chance to digest this punitive tax implications, there are many, many concerns that have arisen.

Yes, I agree the public needs an honest discussion -- when is your lousy party going to start??? Your Minister of Finance was too cowardly even to be present at the VAT legislation debate since he was too busy celebrating his birthday out of the country!!! Stop talking foolishness and bring your ego down to Earth where the rest of us have to survive.

Posted 9 January 2015, 1:33 p.m. Suggest removal

B_I_D___ says...

Whose got the pic of Halkitis and crew on the election campaign saying no new taxes...in increase on taxes...must have taken a page out of his own book...“pandering” to the emotions of the Bahamian people by making “outlandish promises” he cannot keep “just to be re-elected”.

Posted 9 January 2015, 1:34 p.m. Suggest removal

moncurcool says...

Say it again. On Point!!!

Posted 9 January 2015, 1:48 p.m. Suggest removal

B_I_D___ says...

“pandering” to the emotions of the Bahamian people by making “outlandish promises” he cannot keep “just to be re-elected”.

Posted 9 January 2015, 2:26 p.m. Suggest removal

Publius says...

Halkitis and this group of sods called a government...

Posted 9 January 2015, 1:36 p.m. Suggest removal

proudloudandfnm says...

PLP better get real. Next election is going to be about who will repeal this incredibly horrible tax....

Posted 9 January 2015, 1:41 p.m. Suggest removal

TruthHurts says...

This gentleman is a JOKE! He doesn't help his constituents. This will certainly be his last run. HALKITIS!! YOU'RE DISMISSED!

Posted 9 January 2015, 1:57 p.m. Suggest removal

TalRussell says...

Posted 9 January 2015, 2:21 p.m. Suggest removal

duppyVAT says...

The PLP may win FIVE seats in the next election ................. Halkitis better start lining up one accountant job (call Lying Ryan)

Posted 9 January 2015, 2:50 p.m. Suggest removal

birdiestrachan says...

Halkitis is a brilliant young man, Now Doctor Minnis knew VAT was coming into effect. it was suppose to be July 2014. He had plenty of time to say what he is saying now . and as Wayne Munroe said the FNM and the DNA were both going to introduce VAT. so the Doctor and his members should have sat down with the PLP and have their say. They did not.

Dr. Minnis will repeal nothing. He has all kinds of plans as to how he will spend the VAT Money. VAT must have been necessary. and it has taken a lot of courage for the PLP to introduce VAT. Minnis will do well not to lie to the Bahamian people. about repealing VAT because he will repeal nothing. If any one believes The Doctors lies. I have land on the moon and I am selling it cheap. The Bahamas was down graded twice under the FNM Party.

Posted 9 January 2015, 3:01 p.m. Suggest removal

stopthehypocrasy says...

This dude is just as much of a moron as the rest of the fools in this government.
VAT has been rolled out smoothly hey? Perhaps he should read this article.
His own damn government agencies don't know what the frig they are doing!

http://www.tribune242.com/news/2015/jan…

Posted 9 January 2015, 3:11 p.m. Suggest removal

asiseeit says...

I want to know who is going to implement a FREEDOM OF INFORMATION CAT and a Fiscal Responsibility Act. Government is taking OUR money but WE an not know how and why they spend it. Shoots man, they do not even know where it is going! Simply stupid as it stands.

Posted 9 January 2015, 3:58 p.m. Suggest removal

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