House to debate pensions
Amendments to increase pension payments are to be debated in the House of Assembly today.
The Contributory Pensions (Amendment of Benefits) Order 2018 was designed to increase benefits in line with a rise in the cost of living.
The amendments will increase weekly pensions by about 1.4 per cent if approved.
The House is also expected to debate the Report of the Tax Commission.
The bipartisan seven-member group met throughout the year to review the island’s tax system and look for “equitable, effective, efficient, competitive and transparent” ways to boost public sector revenue from 17 per cent of gross domestic product to a minimum of 20 per cent to 22 per cent.
Recommendations in the report included:
• A progressive tax on commercial and residential rentals to yield an extra $41 million
• A general services tax that would bring in $27.5 million
• A “withholding tax” on overseas services that are provided on-island, which would result in $27.5 million in extra revenue
• Aligning company fees with a company’s assessed capital, to the tune of $25.5 million