CFOfficer Hugh McGarel-Groves responds to anti-VAT Independent Business Council
Following the publication of the VAT White paper in the Turks and Caicos Islands today, Mon, 2 July, Chief Financial Officer Hugh McGarel-Groves responded to the latest news release from the anti-VAT Turks and Caicos Independent Business Council:
“The IBC seems to be set against the people of the Turks and Caicos from benefitting from planned, sustained and regularised income with which to ensure, and invest in, essential public services. Government revenue has fluctuated wildly over the past few years. VAT helps prevent this. What do we do if revenue drops again without VAT – close schools? More than anyone else, business people should understand the importance of stable cash flow.
“Their statement has provided an extremely partial picture of what has gone on in other Caribbean countries, particularly Barbados. It has tried to portray the financial challenges of that country as solely down to VAT. This is not correct. VAT was introduced in Barbados in 1997 and the country enjoyed a number of boom years immediately afterwards. The IBC claims ignore wider economic issues and do not take into account that both income and property taxes are payable there, and elsewhere in the Caribbean, in addition to VAT. That TCI has neither of those taxes here, and has proposed the second lowest rate and the highest VAT threshold in the Caribbean, we believe offers the country an ongoing significant competitive advantage.
“Neither is it true to say that we have not consulted widely here in Turks and Caicos. This has been discussed as an option since 2005. The Green Paper – intended to generate discussion before decisions were made - was distributed widely to the Advisory Council, Consultative Forum, numerous business Associations, individual businesses and members of the public. We held more than 30 sessions with various groups. The accusation that we could not provide all of the answers is also misleading as many of these answers could only be provided after consultation in the White Paper, such as dealing with Strata corporations, which is the factual statement of Government policy and published today.
“The content of the White Paper shows that we have taken local considerations into account and tried to strike a balance between the needs of Government and the people it serves, with those of local business: VAT is a replacement tax, prices should not rise; we have made a large number of items zero rated or exempt from VAT to help both the consumer and the construction sector, for example; we have carefully considered how to implement VAT and to ensure effective compliance.”
TURKS AND CAICOS VAT WHITE PAPER PUBLISHED
The Turks and Caicos Government published its much anticipated White Paper, which outlines the agreed policy decisions on how VAT will be implemented in the Territory, today, Mon 2 July 2012.
The key VAT policy decisions includes:
- The effective rate of VAT to be charged in the Turks and Caicos Islands will be 11% - which is the second lowest rate in the Caribbean region, after Haiti, and is the same level as Accommodation Tax currently charged in the TCI.
- The VAT registration threshold for businesses not already registered for Accommodation Tax will be set at a turnover of $200,000 in annual gross sales, which is the highest threshold in the Caribbean (Antigua and Barbuda are the next highest at $110,000). This figure was determined on the planned number of registrants, values of imports, business license information and employee earnings data. It is anticipated that there will be 400 VAT registered businesses in the TCI at the $200,000 registration level, when VAT begins next year.
- The VAT registration threshold for businesses already registered for Accommodation Tax will be set at a lower threshold of $50,000 to mitigate against any loss of tax revenue from businesses with turnovers between $50,000 and $200,000. Hotels and restaurants with turnovers below $50,000 will no longer be required to include taxes in their charges to their customers; however they will pay VAT on their imports and other inputs, which registered businesses can offset against their output VAT.
- There will be a deliberately large range of VAT exempt supplies, which are those goods and services that will not be directly subject to VAT. These have been chosen to protect consumers against price increases on essential goods and services. VAT exempt goods will include: basic food items including rice, flour, sugar, milk and eggs, chicken, fish and meat, fresh fruit and vegetables. In addition, infant supplies, personal hygiene products, hurricanes shutters, cement, steel, fuel, property leases and rents; property sales where stamp duty is applied, medical services, transportation, religious services and printed materials.
- There will also be a range of zero rated supplies, which are goods and services that will be taxable, but at a VAT rate of zero per cent, allowing a VAT registrant to claim input tax credit on inputs used in making the zero rated supplies, including the supply of water, electricity and exports.
- Import duties will be generally reduced by between 10% and 15% to offset the effect of VAT being included in the cost of imports and VAT on imports will be calculated on the fully landed cost, including CIF (carriage, insurance and freight), Customs Processing Fee (6%) and import duty. Import duty and CPF will continue to be calculated on the FOB value of imports.
- All accommodation units in resorts/condominiums will be required to join the resorts/condominiums rental pools and only rentals through the rental pool arrangements will be permitted. Only the rental pool business will be required to register for VAT, not the individual accommodation units.
- Strata fees allocated to owners of resorts/condominiums accommodation units will not be subject to VAT, as these represent a sharing of costs that are already subject to VAT, within a Strata company arrangement formed on behalf of the owners for cost sharing purposes.
“Following the anticipated passing of the VAT Bill into law, the VAT implementation team will continue to explain to the business community their rights and obligations arising from the changes and operational procedures of VAT, and the resulting consequences of non-compliance,” said TCIG Chief Financial Officer, Hugh McGarel-Groves.
“Staff in Customs and Revenue Control Unit are being trained now in VAT operations covering areas such as taxpayer registration, calculation of VAT and processing of returns.
“The VAT Implementation Team will shortly begin to work with the first group of VAT registrants and through regular meetings, training sessions and advisory visits, ensure a smooth transition in April next year.”
Operations on Grand Turk will not close says TCI Commissioner
Swirling rumors have found their way into the rumor mill as it relates to the downsizing of the grand Turk Police station.
RTC News contacted Press Officer, Kevin Clarke to verify the story.
In a response to our news room, Police Operations on Grand will not be greatly reduced. Commissioner of Police has issued this statement.
“I am not certain how the rumour originated that Grand Turk policing is being greatly reduced because it is so far from reality.
“The Senior Executive of the RTCI Police are actually strengthening Grand Turk by deploying an Inspector and a Sergeant on each of the four shifts, which were not there before.
“We are essentially delegating more authority and decision-making to the each shift to ensure accountability and to aid in policing services.
The Commissioner continued, “I am committed to ensuring that Grand Turk has the policing services that it needs. Each of our islands has particular needs and the RTCI Police will provide the unique policing service that each island requires.”
RTC will continue to follow this story in the event the rumor becomes truth.
Rappers Win Big At 2012 BET Awards
Hip-Hop music was front and center last night (July 1) at the 2012 BET Awards in Los Angeles.
Jay-Z and Kanye West snagged Best Group as “The Throne,” while Drake won Best Male Hip-Hop Artist.
Drake’s Young Money labelmate Nicki Minaj won Best Female Hip-Hop artist, while Wale and Miguel’s track “Lotus Flower Bomb ” won Best Collaboration.
Jay-Z and Kanye’s video”Otis” took home Video of the Year, while Jay-Z’s wife Beyoncé won Director of the Year with Alan Ferguson, her creative collaborator for the “Party” and “Dance For You” videos.
Detroit rapper Big Sean won New Artist of the Year, while Diggy Simmons took home the Young Stars award.
Other winners included UK rapper Wretch 32, Chris Brown, Serena Williams, Kevin Hart, and Kevin Durant.
Whitney Houston was honored in a moving tribute by her mother, Cissy Houston, Marian Carey, and other friends and family during the live show, which, during other portions, was marred by obscenities that were constantly bleeped out.
Performers included Brandy, Monica, G.O.O.D. Music, Rick Ross, Usher, Nicki Minaj, and Chris Brown.
Meanwhile,
Some ish almost went down at the BET Awards according to allhiphop.com.
The site says it was almost on between two hot tempered hip hop personalities. One being rapper Busta Rhymes and the other being Power 105.1 Breakfast Club host, Charlamagne.
According to a source, Busta was upset over an interview with his baby mama and his son that took place on the Wendy Williams radio show back in 2004.
Yes, Charlamagne used to work for Wendy Williams, but according to him, he was not working with Wendy in 2004 when the interviews happened.
You have wonder why it would take Rhymes 8 years to confront Charlamange, but primarily, why he just didn’t deal with Wendyin the first place?
When asked about the almost fight, here’s what Charlamagne told Vlad TV:
“Arguing. Acting like we wanted to do something to each other but neither of us made a move. That’s why I don’t talk to ni***s after 5PM.”
R KELLY - Sumfest’s Wish comes true
DESPITE rumours that Rhythm and Blues singer R Kelly is having health issues, promoters of Reggae Sumfest are confident the Grammy-winning artiste will perform on July 21.
At the launch party on Sunday at Kingston's Waterfront, Summerfest Productions head Johnny Gourzong said R Kelly is preparing a special show for International Night 2 which closes the week-long event.
The I Wish singer was expected to be one of the headliners for last year's Sumfest but withdrew to undergo emergency throat surgery.
The 20th anniversary of Reggae Sumfest starts July 15 with the traditional beach party at the Aquasol Theme Park in Montego Bay.
The main nights take place at the Catherine Hall Entertainment Complex, also in Montego Bay.
Also appearing on International Night 2 are Damian 'Junior Gong' Marley, Bunny Wailer — who is part of a special tribute to Jamaica's 50th anniversary of independence; and Protoje.
Pop singer Trey Songz is headliner for International Night I which also features Tessane Chin and Tarrus Riley. There is also a Tribute to the Greats segment showcasing Rocksteady greats John Holt and Leroy Sibbles, Roots-Reggae trio the Mighty Diamonds and Dancehall deejay Yellowman.
Dancehall Night, a traditional crowd-puller, takes place July 19. The lineup includes perennial headliners Bounty Killer, Beenie Man and Lady Saw.
First held in 1993, Reggae Sumfest is celebrating its 20th anniversary. Gourzong admitted there was a time he thought the festival would have never made it past year five.
"After many trials and tribulations, many hurdles, here we are today," he said.
Sumfest initially promoted an all-Reggae bill, but over the years promoters have incorporated big Pop artistes including Wyclef Jean, Snoop Dogg, Joe, Destiny's Child and Rihanna. The move has paid off, attracting hundreds of fans to Catherine Hall.
Making their debut on the Sumfest stage this year will be veteran singer AJ Brown, who made his name as a cabaret performer in Montego Bay 30 years ago. He appears on International Night 2.
Shabba Ranks, the biggest name in Dancehall music during the 1990s, returns to the Sumfest stage for the first time since 1994.
"He says he will need a trailer-load of sexy girls to meet him," Gourzong said.
Following Sunday's formalities, the audience was treated to 'teaser' performances from artistes booked for the show including the NoMaddz band, and singers Christopher Martin, I-Octane and Tommy Lee.
Ted opens top of the US box office
Family Guy creator Seth MacFarlane's debut film, about a foul-mouthed teddy bear called Ted, has topped the US box office in its opening weekend.
The comedy, starring Mark Wahlberg, took $54.1 million (£35m), according to studio estimates.
Director Steven Soderbergh's Magic Mike, featuring Channing Tatum and Matthew McConaughey as male-strippers, was in second with $39.2m (£25m).
Pixar's Scottish fairy tale Brave fell two places to number three.
Ted, in which a childhood toy comes to life and proves to be less-than cuddly, has an "R" rating in the US, meaning children under the age of 17 cannot see the film unless accompanied by an adult.
Only two R-rated movies have performed better in their opening weekend - and both were sequels: Last year's Hangover 2 ($85.9m) and 2010's Sex and the City 2 ($57m).
Writer-director MacFarlane also provides the voice of the drug-taking, profanity-prone bear while actress Mila Kunis, who plays Meg Griffin in Family Guy, plays Wahlberg's girlfriend.
Magic Mike, inspired by star Tatum's own early career as a male stripper, also performed better than expected.
A 73% female audience watched Tatum's character Mike take newcomer The Kid, played by British actor Alex Pettyfer, under his wing.
Tyler Perry's new release Madea's Witness Protection was in fourth, with $26.4m (£17m), while Madagascar 3: Europe's Most Wanted fell to number five with $11.8m (£7.5m).
Internationally, two big franchises got a head-start on their US openings, with animated sequel Ice Age: Continental Drift opening to $78m (£50m) and The Amazing Spider-Man in second with $50.2m (£32m).
Ganja valued at $27m seized; three held
Three people, including a Bahamian, were yesterday held in an operation by members of the Area One Transnational Crime and Narcotic Division in connection with the seizure of almost 2,700 pounds of compressed ganja, valued at approximately $27 million.
Police say the drugs were destined for the guns-for-drugs trade, but gave no details.
According to the constabulary, the three were aboard a white Toyota bus which was intercepted in the vicinity of the Barrett Hall beach in St James. The vehicle was searched and compressed ganja, weighing 2,695 lbs, was found in 72 knitted bags and a black travelling bag. The occupants of the vehicle were subsequently taken into custody, pending further investigation.
According to Sergeant Peter Salkey, Constabulary Communication Network liaison officer for St James, investigators have since been on the lookout for a vessel which was expected to transport the weed.
Anderson Cooper: I’m Gay
Anderson Cooper has confirmed what most people in the media world and New York already knew: He is gay.
"The fact is, I'm gay," Cooperwrote in an email to Daily Beast blogger Andrew Sullivan. "Always have been, always will be, and I couldn't be any more happy, comfortable with myself, and proud."
Sullivan, who is gay and is a longtime friend of Cooper's, had asked the CNN anchor for his reaction to a recent Entertainment Weekly story—"The New Art of Coming Out"—which was, in part, about the importance of gay celebrities coming out of the closet to combat America's bullying epidemic.
"Andrew, as you know, the issue you raise is one that I've thought about for years," Cooper responded. "Even though my job puts me in the public eye, I have tried to maintain some level of privacy in my life. Part of that has been for purely personal reasons. I think most people want some privacy for themselves and the people they are close to."
"But I've also wanted to retain some privacy for professional reasons," Cooper continued. "Since I started as a reporter in war zones 20 years ago, I've often found myself in some very dangerous places. For my safety and the safety of those I work with, I try to blend in as much as possible, and prefer to stick to my job of telling other people's stories, and not my own. I have found that sometimes the less an interview subject knows about me, the better I can safely and effectively do my job as a journalist. I've always believed that who a reporter votes for, what religion they are, who they love, should not be something they have to discuss publicly."
Cooper said he did not come out in his 2006 memoir, Dispatches from the Edge because the book was meant to be about war and not about his personal life. But his thinking has since changed.
While it's the first time Cooper has been on the record about his sexuality, it's been an open secret in the media and gay communities for years.
(yahoo.com)
Venezuelan doctor accused of revealing state secrets
A doctor working in the presidential palace in Venezuela has been arrested on suspicion of revealing state secrets, authorities say.
Prosecutors accused Dr Ana Maria Abreu of divulging political or military secrets over the past two years.
They made no reference to President Hugo Chavez, who has undergone treatment for an undisclosed cancer.
Dr Abreu, who has worked at the presidential palace for 12 years, is not his personal physician.
A statement from the attorney general's office said Dr Abreu had been detained last week.
The statement said she was accused of breaking the law on revealing political or military secrets that could damage the country, but gave no further details.
One of Dr Abreu's lawyers, Theresly Malave, said that the accusations were completely unfounded, given that there was no indication of what information was supposed to have been leaked nor what damage had ensued.
Ms Malave said Dr Abreu's work involved caring for people who had lost their homes during torrential storms and were housed in parts of the presidential palace.
The doctor did not attend any palace personnel, Ms Malave said, and had no access to state secrets.
Dr Abreu is the sister-in-law of a prominent government critic Rocio San Miguel, who heads a group monitoring security and defence issues in Venezuela.
Her defence team say her arrest is politically motivated.
President Chavez, who is running for re-election in October, has a wide lead over his nearest rival, Henrique Capriles, according to the opinion polls.
In May, he said that he had successfully completed radiation therapy for cancer.
Police drinks poison after stabbing woman
A Special Reserve Police Officer in Trinidad and Tobago is said to be in a critical condition at the Port-of-Spain General Hospital after ingesting a deadly herbicide (Swiper) used for destroying grass following an altercation at his home with his 45-year-old close female relative.
The officer allegedly stabbed the woman several times following an argument on Saturday night and then ingested the substance. According to reports at about 11 pm on Saturday the 54-year-old officer had a quarrel with his close relative, Hazel Toussaint-Chadband.
During the argument, the officer reportedly expressed anger over the woman’s decision to attend a fete on Saturday. Toussaint-Chadband reportedly told the officer she had no reason to feel sorry for attending the fete, causing him to become further enraged.
Further reports are that the officer took a kitchen knife and stabbed Toussaint-Chadband several times about the body, then took a cutlass and began beating her with the flat side of it.
As the woman lay bleeding on the ground, the officer took a bottle of Swiper and ingested the contents. He then forced the bleeding woman into his car and drove to the St James Medical Infirmary where the couple remained unable to even alight from the vehicle.
Police later learnt that the officer again drank from the bottle of herbicide while seated in the car with Toussaint-Chadband outside the St James Infirmary.
Surprised medical personnel took control of the situation by removing the couple from the car as doctors attempted to treat them for their injuries.
However, by midnight a decision was taken to convey the officer and Toussaint-Chadband to the Port-of-Spain General Hospital, where they remained warded up until yesterday.
Newsday