a taxation review conducted last year to "clarify'' the direction it wants to take the country in.

Dr. Gibbons was responding to a report in the latest issue of Captive Insurance Company Reports which claims that the removal of a $250,000 cap on the payroll tax will increase costs to International businesses.

While Dr. Gibbons' United Bermuda Party Government commissioned two American economists and taxation experts to conduct the review, the Progressive Labour Party called them back in to expand the review's scope.

The expanded review was a PLP election promise and Finance Minister Eugene Cox, in the 1999/2000 budget, promised to release the results of the review "in due course'' with Government's response.

Dr. Gibbons said: "I'm calling on Government to release the taxation review conducted a year ago by Harry Gutman and Eric Toder. The PLP promised to release this review of Bermuda's existing tax structure.'' While the last UBP had a Gutman/Toder report in "late summer or early fall of 1998'' it was not released because of the impending election and subsequent UBP loss in November 1998.

"Obviously we were not in a position to release it and Mr. Cox commissioned them to go away and do it over,'' he said. "The point is that it would be useful of Government to release that tax review now.

"Clearly there is some confusion out there with Government's tax policies -- apart from the fact that they are going up,'' Dr. Gibbons added. "There is quite a bit of confusion about this $250,000 ceiling.

UBP: Make review public "You'll remember the two increases in land tax and the rebate for the elderly, and the tax concession for hotels. All of these issues were dealt with in the Gutman and Toder Tax Review. It may be useful to provide clarity.'' He added: "I'd guess another $100,000 was spent on the expanded review and Government should release the report's recommendations along with its thoughts.'' Dr. Gibbons explained the report would bring "clarity and focus'' on the debate about taxation as the tax base shifts from the hospitality industry to the international business sector.

He said Bermuda does not "operate in a vacuum'' when it comes to international businesses who are looking for the best tax break with a stable economy.

`Ireland and others are being seen as alternatives to Bermuda,'' he added.

"We just need a clear directive on Government's policy. Given the investment done on it, it would be enlightening.'' The review examined Government's reliance on current consumption taxes, the distribution of taxes in the various sectors of the economy, the appropriateness of Customs Duty as the main form of indirect income tax and the appropriateness of tax privileges.