The value added tax (VAT) is a platform of revenue and has to be preserved, Prime Minister Roosevelt Skerrit told parliament on Tuesday as he presented the country’s national budget in his capacity as finance minister.
PM Skerrit had indicated earlier that the existing 15 per cent VAT rate would neither increase nor decrease.
Referring to other fiscal measures contained in the 2012/2013 budget, the prime minister said that there would be adjustments in fees for work permits and other immigration services. “It is proposed that the following fees be increased. Application for citizenship from $100.00 to $250.00,” he informed parliament.
Also going up is the fee for issuance of certificate of registration for citizenship – that’s moving from $1,000.00 to $2,000.00.
Applications for work permits and temporarily resident permits for Caricom citizens will go up to $200.00, up from $90.00.
Parliament has also been informed that the increases being proposed include adjustments in the economic citizenship fees.
The rate of import duty is also moving up – in the case of tobacco, it’s a hefty 75 per cent.The prime minister said that was in an effort to reduce smoking which he said causes major health problems for citizens of the country.
It was long overdue. Alcohol and tobacco are ‘demons’ eating away at our youths and the future of our country. I have seen Young men and women, in fact boys and girls “drunk as skunks” all over this country and puffing their lives away. First there must be a much higher level of enforcement of the sale of alcohol beverages and tobacco products to minors. Secoundly the ‘if in doubt ask for an ID’ system, by business operators should also be enforced. Third there should be HEAVY penalties, including suspension of liscences for businesses and their operators for violating these laws and Fourth one single cigatette should cost no less than two dollars; a packet should cost no less than twenty dollars; a beer should cost no less than twenty dollars and get the idea how much other alcoholic beverages would cost retail and wholesale. Until the purchasing of alcohol and tobacco products can put a hugh dent in the pockets of users they will continue to strain our health systems and our economy.
Why won’t Skerritt and his DLP Govt. listen for once to the cries of the people of Dominica? The selling of our passports as well as our diplomatic immunity is creating more problems for us.
Some still won’t believe that our diplomatic passorts have reached the hands of foreigners with reputable characters. But the evidence and revelations are truthful, factual. Govt. refuse to stop that selling of passports. Is only a few making millions. Where are the investors/economic citizens? those driving away the local business men and women? Where are all the millions made from those sales of passports. Where is the transparency or accountability?
If reports and revelations were not made, if the hosts on Q95 programme did not inform the Dominican people, secret deals after secret deals would not be known. Stop the sale of our passports. Skerritt why do you continue to be so dictatorial, stubborn and refuse to do the right thing in that case. Stop the sale of our passports. The property of Dominicans.
Economy in shambles. Unemployment on the rise. The country is reeling from inefficiency and incompetence. But passports selling. The standard of living of the majority of Dominicans are going down and down, but passports selling and plenty money making. The few getting richer and richer while the poor getting poorer.
INCREASE SALARIES. Some people get only $300.00 EC not US nuh, EC, wey, wey, wey, wey that is slavery, people working so hard eh, for nothing, don’t they expect people to steal, do illegal things for a little money.
IS THAT WEEKLY?
Lets work it out. The min. legal wage in Dominica is E.C.5.00/hr., so for a 7 hr. day that makes E.C.35/day or E.C.$.175/for a 5 day week, gross. I’m not sure domestics, gardeners etc. are even paid that. I suspect that the E.C.399 quoted is per month applicable to this type of employees, after deductions.
By the way, low wages are not necessarily an indicator of a countries economic growth. In countries India and China even lower wages prevail
and their economies are doing well whilst almost next doors to us the St. Lucia economy is in better shape than ours despite the fact that their legal min. wage is 50% higher than ours.
What about the increasing salaries? People are working for ten years and more, salaries, have not increased, cost of living is skyrocketing, and paying people 30-31 days sometimes getting your salary the 1st or 2nd of the other month is utter rubbish, why can’t they look at that in the budget.INCREASE SALARIES AND PAY EVERYONE FORTNIGHT INSTEAD OF A MEASLY SALARY (A WHOLE 30 DAYS).
THANKS.
let me make my kids citizens of Dominica before price hack please..
Did I read that right… “The rate of import duty is also moving up – in the case of tobacco, it’s a hefty 75 per cent.”
Please tell me it’s only on Tobacco and Alcohol because things already expensive and most things are imported because we don’t produce much so if import duty has gone up aint a damn thing in the shops gonna stay down. Please tell me import duty on Food and electronics haven’t gone up. Please oh please
It’s Onlly tobacco>>>to curb smoking in public
A budget with no increase in overall taxes but also no relief for a hard -pressed people. The P.M. told us that projected revenue is down, and will be for some time to come. Yet there is a glaring omission of savings in the budget. Govt. is not showing any cutbacks in expenditure at a time of falling income.
I had hoped for a streamlining of a bloated Govt. apparatus for instance. For a country with a total population that is only 75% of that of Bridgetown and more closely approximates that of Castries, we have a Government that is out of proportion in size and expenditure. This was a golden opportunity to announce a pared-down structure, lean & mean and therefore more nimble.
An opportunity was also missed for the Govt. to garner some valuable credits by making tax cuts, particularly in the VAT rate.
A reduction of the VAT on electricity from 15% to 10%, for example, would have been hugely popular for a mere drop of just over $2 million in Govt. revenue, easily outweighed by the increased fees of the Economic Citizenship programme alone. On this subject it should be noted that our neighbours in St. Lucia will enjoy electicity that is zero rated when their VAT scheme takes effect on 1 Sept.
A tax hike on tobacco imports will be regretted by few, except perhaps those employed by our only cigarette manufacturer, Chas. Garraway of Hillborough repute, who rely on imported raw material for their wares.
In reality, it is business as usual with our deficit growing.We should have had the courage to cut our cloth according to our income and try and bring some relief to the average man and woman in the street.
even on back and neck i would put 75%
PPL STILL EATING THAT NER..LMBO
If they’re eating other meat cast offs from USA and other countries marked “For Export Only” why can’t they eat the back and neck??? Are other imported meat healthier than back and neck? All the less than desirable meat that they package for export, black and blue chicken with settled blood, they’re all the same.
That budget lacks thought. This is the same old budget story. Just putting plaster on “bow bow” (sore). There is no innovative ideas to push this economy forward. It is myopic in its views. The budget gives the impression that Dominica is a welfare state. A whole lot of tinkering but no real economic solutions to counteract the external shocks affecting our beloved country.
A 10 Million dollars in the bank for investment but trust me this money will not be used up because the problem has never being the availability of capital (our banks are always liquid), The problem is access to capital. How many companies or business people can access capital? Very few.
Well once import duty goes up, so will everything else on the Island. No businessman is going to absorb the cost. so sugar, flour, milk, cheese, rice chicken all will go up. Things will just keep more expensive and th epoor people on the island will keep suffering.
dumbinicans are a big joke, this budget has nothing in it that will stimulate our economy yet they are glorifying the Pm for what duty on tobacco and firearm, this will surely not affect the economy in a positive way.. for example the greatest importers of cigarettes are the duty free shops,the majority of those cigarettes are being bought by the tourist as a favour to the busman who inturn sells it to small shops, ask the friday night entertainment spot in goodwill. i will not even comment on firearms because we know where they are coming from(backdoor)…
the only way we can move this economy is through agriculture and i do hope he mentioned about 80 million to start with or “bal kay pour nou”
water and sand should be nationalised, that is Dominca’s life line.
Forget that. Before Carib Sand & Stone took over at Pt. Michel, Public Works was running that place, very inefficiently and at a loss! By all means, let’s strengthen our supervision and control, make sure the public purse benefits but let private enterprise run it.
great budget Hon.PM. What about alcohol?
I am not a big fan of the prime minister neither is government however I must say that I find the general budget balance and bouyant . I believe that it seeks to benefits the general populace inspite of the global economic crisis . I am quite shock to know that our fees for granting work permits we’re so low . I lived on an OECS island for 9 years and the fees to work permit was EC$ 1600 per year . I believe that the work permit is still way …. To cheap . My PM you can do the comparison and maybe further increase the work permit rate . If you do then you might be able to reduce on another tax like removing VAT of diaries , poultry and medicines . I was very impress with the suggestion of the government to help parents in the purchasing of eye glasses / spectacles for their children . That is very considerate ! MR PM who knows , you may win me over before the next general election .
How many sheets did he full in that budget?
what about the road from grand bay to bagatelle inwhen gov going to do somthing about it itseem like the gov forget us in the south it time for the people to speck out for them self in the southt the gov know that they strong so do somthing with the road plese i am living in the USA over twenty yars the gov need to take it into concidaration and think of the people we need a better road dont for the south plese you need the vote
PPL IN THE SOUTH SCARED TO TALK..BUT GIVE THEM THERE PM..LMBO
increase tobacco taxes to reduce comsuption has never work nowhere in the world. also i wonder if local manufacturer will be also concern by the new level of import duty. if you really want to reduce comsuption put the pack at 100 ec$, then it will work.
A hike in duty/prices will not deter smokers. Education and reform will…
Dat is a budget
Skerrit should Resign, he just cannot do the job! Dominica is going down.
75% on tobacco eh. well i’m sorry, but thats 75% more crime. d simple joys of smoking a lil tobacco cld help solve so many mental issues. everyday little brain teasers. with so many pple working below minimum rate in this country, when they start having their little mental issues and cannot afford to buy a cigarette to calm them down. what u think they gonna do? think about it.
They can grow tobacco in their backyard
Good idea to increase tobacco. That was are nice move by pm. Hope they remember that south of the island in this budget(pichelin,grand bay, ect) nthing is being done in the south.
Remember……the proof is in the pudding. Talk is cheap.
Unfortunately also, the PM is not very creative in terms of figuring out how this island can actually make money rather than taxing the occupants.
Wgen last did you travel on the road to Pichlin or Grandbay??
$26m just spent on that road you still complaining, what all you Dominicans really expect from a Government nah?
I think persons need to know the role of Government wii!!
He also said the visa fee will move from US$50.00 to $EC500.00, am so elated by that, maybe,just maybe it will stop the flow of haitians making money on other want-to-come haitians, he should also increase the fee for extention of stay to $1000.00. that would certainly bring revenue to our treasury, believe me because when they come for one month is one year intransit
You can count on even less visitors having any desire to visit this island with that attitude. And you can forget any revenue dropped here from tourists.
Well, all u ppl dn think! Who in H*ll is going to pay 500 EC for a visa for visa fee? In waht country is a visa so damn expensive? Anyway… Only in DOminica visitors who require visas have to pay. Not 10 US. Not 20 US. Not 100 US. but 400 US deposit. Well, the tourism sector will not progress. One of the main source of revenue of that budget is from immigrants. That is wickedness and ignorant.
yay! those nicotine addicts will have to check into rehab!
Addicts of untaxed canabis would have to go into rehab too!According to the Britsh Lung Foundation
“SOMEONE SMOKING A CANABIS CIGARETTE INHALES FOUR TIMES AS MUCH TAR AS FROM A TOBACCO CIGARETTE AND FIVE TIMES AS MUCH CARBON MONOXIDE”
The risk of lung cancer is 20 times higher smoking canabis than smoking tobacco cigarettes.
Mr. PM put some heavy taxes on Alcohol as well.
NOOOOO!!! How I will bat my whiskey now???
a hundred percent on alcohol
Very few Ministers smoke…but they all drink and love the expensive brands.
I do not see them agreeing to shoot themselves in their foot by increasing the duties on alcohol.
Boy, wake up. The select few would get their friends in the embassies to import it for them, duty free and without tax, if that’s not happening already.
so is import duty goign up only on tobacco or is it goign up on everything ( cause customs so abichary already that just goign to kill the economy there ) oh i forget the chinese them get duty free so at least they can still sell things cheap for us man
You are right on that.
The word is arbitrary not arbichary or arbicherry: ok my arbi-chewie??
Wow the PM like Mayor Bloomberg. He want to eradicate smoking. Hahaha
Man this is just crazy and shows how shortsighted and lazy this government is. No foresight, no creativity. The only way this citizenship registration can help is if this government continues it’s klandestine sale of our passports. Maybe it’s a move to fatten pockets but not help our economy.
Further how many people from outside will be requiring Dominican citizenship? How many people from outside will be seeking work permits in a country where locals can’t even find employment?
While I agree with the effort to reduce smoking this tax should be solely for that purpose because really how much revenue can we receive from an increase in tarrifs on tobacco?
I noticed 16 dislikes to the above comment, dislike all you want but the truth is the truth, so stay blind and keep praising your god.
so what are the fee details for the economic citizenship? why are we always shortchanged with info in that regard?
it almost feels like the citizens of this country shouldnt know much about economic citizens except that it exists, smh
look it up. ask a question. the information isn’t secret, you just don’t want to know about it
Where to look?
if you read more and stop waiting for someone to spoon feed you information. you would know.
http://www.dominica.gov.dm/cms/index.php?q=node/678
I will spoon feed you. smh
he put up duty on petty things that are small and can be easily smuggled but what is he doning about the royalty on sand and stones where the biggest barge pays nothing more than $1250. these companies are shipping out dominica piece by piece for chump change.
Are you even aware of the cargo due amount paid by the quarries to the Port Authority?
It amounts to $4.98 / ton + other port charges.
The export royalty to Customs amounts to $0.50 / ton.
You can recalculate for a 5000 ton barge.
Those manufacturers also pay customs service charge and environmental levy on spare parts imported and they are not cheap in that business.
Additionally, they pay VAT, Social security, Inland Revenue, employ (skilled)people and purchase a lot of stuff from other local businesses.
The figure of $1250 for the biggest barge is wrong, revisit your sources and maybe you should stop spreading false information about local manufacturers who contribute to build Dominica and the Region.
you are wrong… check with the statistical office. but doh check christian.. the sand and stones are given free….
In UWP time they used to get the sand and stones for free because those ministers that were then building house could get their tiles and so on to come in on those barges. Is me that say.
Get your facts straight. Before you put your comment, find out what other taxes Barges pay. Beside royalties what are the other dues.. You will be surprised. Before you talk go ask about the other dues and taxes. Your comment indicates that you have a personal vendetta against the producers of sand and stones.
Can’t we have a little bit more respect for people who invest into private sector companies and create employment?
wow!!! no comments yet??? what???
ohhhh,, they maybe at work..
long time they needed to increase the tax on tobacco so what about alcahol
I guess i should increase m’y selling price for a Joint!!!
This increase should apply to alcohol too.
Thank God for Prime Minister Skerrit
God have on his account eh..with people like allu…weh weh weh
Thank God for a tobacco budget; garcon we needed to hear a budget that had some radical decisions like smoking at least 6 or so ministers out from that overcrowded cabinet – and burning the links of all them advisors- thats where I would agree that the boy finally got testicles- but for now its just a waste a time budget.
Depends on which god you are thanking,couldn’t be the God of Abraham. You know, satan has a way of convincing some that he does not exist.
You really love gettimg hand out instead of doing something for yourself.