No Plan to Increase Tax, says Marape
By CLIFFORD FAIPARIK
THE Government has no plans to increase income tax or the Goods and Services Tax but will focus more on compliance, according to Finance Minister James Marape.
He said he would leave the Government if the taxes were increased.
“We are already battered enough. Not at any time in the Alotau Accord Two we thought about taxing Papua New Guineans – whether to increase personal income tax or Goods and Service Tax for that matter,” he said.
He said any increase in tax would be only on public utilities such as water and transport.
“You have to pay your fair share of taxes. But let me tell you, I’ll be the first in the Government to walk out if taxes (income and GST) are increased for ordinary Papua New Guineans,” he said.
Marape was responding to claims that taxes would be increased to boost government revenue in the face of the ailing economic conditions.
He said the Government was looking at the tax compliance aspect from small to medium enterprises up to large corporate entities.
“I think your Government is seriously looking at compliance so that everyone pays your fair share of tax whether you are a Papua New Guinea man, Australian or China man,” he said.
“The time for evading taxes is over. We put reforms in place now where the Investment Promotion Authority registration, tax files number and bank account go hand in hand.”
He said a Treasury team was looking at a right tax model for the country.