Junior Minister of Finance, Wayne Furbert told MPs that the Government could take in an extra $147 million over the next two or three years, if the recommendations contained in the Tax Reform Commission Report are implemented.
In what was to be the New Finance Minister’s first Ministerial Statement in the House, Mr Furbert delivered the update, as Curtis Dickinson was one of many Bermudians whose flights were cancelled as a result of that early winter storm in the New York area.
The seven-member group’s report was tabled in the House of Assembly on Friday, following a series of meetings held over the past nine months to submit recommendations on Tax Reform.
While speaking on the floor of the Lower House, Mr Furbert told his parliamentary colleagues that the extra $149 million will boost revenue to $1.26 billion and that it would stand at 20 percent of GDP, compared with 17 percent of GDP in 2017.
The recommendations include:
- A progressive tax on commercial and residential rentals yielding an extra $41 million
- A general services tax that would bring in $27.5 million
- A “withholding tax” on overseas services that are locally provided, which would result in $27.5 million extra revenue
- Aligning company fees with a company’s assessed capital, to the tune of $25.5 million
The commission’s findings will now be considered following consultation with stakeholders before any changes are made.