CASTRIES, St. Lucia Oct – The St. Lucia authorities has reiterated the advantages of the two.5 p.c well being and safety levy (HCSL) that went into impact on October 2 whilst the principle opposition United Employees Get together (UWP) mentioned the measure is an extra burden on St Lucians already grappling with a rising value of dwelling, the hostile impression on the native enterprise neighborhood, and the unstable international financial local weather.
In a press release, the federal government mentioned that the levy was devised to enhance its monetary potential to offer high quality healthcare providers to the general public and reinforce St Lucia’s nationwide safety infrastructure for a safer and safer nation.
The assertion mentioned that the HCSL, which bought parliamentary approval in July this yr, is charged on imported items and providers at a fee of two.5 p.c.
“The Division of Customs and Excise applies the HCSL to items getting into St. Lucia that aren’t on the exemption record. The Inland Income Division collects the HCSL from service suppliers.
“Meals gadgets and choose medicinal merchandise are exempted and won’t entice the HCSL. Moreover, items that didn’t entice Worth Added Tax (VAT) and zero-rated items is not going to be subjected to the HCSL. Thus, the implementation of the HCSL mustn’t trigger the worth of meals gadgets and medication to extend,” it added.
The federal government mentioned that the HCSL is predicted to generate roughly EC$33 million (One EC greenback=US$0.37 cents) in new income, including “this income will enhance the federal government’s fiscal potential to broaden public well being providers, additional scale back the price of medical providers and supply the next high quality of healthcare providers to enhance the well being and wellbeing of our nation.”
However the UWP has maintained that even earlier than the imposition of the tax, important gadgets equivalent to bread, electrical energy payments, with a 30 p.c improve, meals in supermarkets, LPG cooking fuel, petroleum, diesel, and even bus fares “have seen unsustainable value hikes.
“It’s evident that this tax has burdened an already dire state of affairs. Due to this fact, we demand a direct and whole suspension,” the UWP mentioned, including that “the enterprise neighborhood can also be grappling with the repercussions of this coverage.”
“The well being and safety levy is certainly hindering the non-public sector’s potential to broaden and create jobs, particularly contemplating the unemployment fee, which stands at unacceptable ranges, in line with the Financial and Social Assessment.
“The tax should be instantly and utterly suspended. We’re disillusioned that the federal government didn’t heed the Chamber of Commerce’s name to postpone the tax till January 2024,” the UWP added.
Associated
