THE RECENT BUDGET has been described as a weapon of mass destruction which will earn the Government $34 million, and not $9 million as predicted by the Minister of Finance, says Barbados Labour Party (BLP) economic adviser Dr Clyde Mascoll.
He told last night’s meeting outside Tyrol Cot that Chris Sinckler had said the measures of removing the allowances and reducing the marginal tax rate of Barbadians would earn him $9 million.
However, Mascoll explained, with $1.64 billion being the tax base of the entire country from income tax returns for 2013, Government had taken $187 million and not $196 from the people of Barbados through the allowances.
Because of the proposed reduction in the tax rates, Mascoll added, the effective tax rate as calculated by the Barbados Revenue Authority (BRA) had declined from 24 per cent to 22.5 per cent and consequently, BRA had added the $187 million back into the $1.64 billion and then calculated that the Government would get $411 million: some $9 million in additional revenue. (CC)
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