Former President of the Dominica Manufacturers Association (DMA), Severin McKenzie, has called on the government to waive the Value Added Tax (VAT) on raw materials and inputs.
McKenzie who spoke to Dominica News Online (DNO) during an interview recently said this has been the association’s cry for many years.
“With regards to the budget the government made some concessions for the manufacturing sector, in terms of waving or eliminating the import duty on packaging and labeling material and on equipment,” Mckenzie said. “However, our main request has been over the years for government to waive the VAT, Value Added Tax on raw materials and inputs.”
According to him, this is where the real burden is.
“So the government waving the VAT on packaging and labelling material and equipment doesn’t really cut it,” he maintained.
He said the DMA’s argument is that if the VAT is waived at the port on raw materials, then the VAT could actually be implemented at the point of sale.
“So the government is not losing…,”McKenzie stated.
Meantime, McKenzie said he is satisfied with the contribution he has made in the manufacturing sector over the last 10 years and after 5 years of being the president, he is saying goodbye to that position.