Budget Highlights

Appoximately $22 billion
Fiscal deficit - $313M
Based on oil price of $25, GDP growth of 4 percent and inflation rate of 2.7 percent.
Debt-servicing — Approximately $5 billion annually.

Increase in allowances for pensioners
Resident individuals over the age of 60 will now benefit from a personal allowance of $30,000. From January 1, 2004 this allowance increased to $40,000. 

Removal of tax on savings
Removal of 5 percent tax on interest earned for individuals who invest in TT.

Settlement of Vat refunds
Interest on outstanding refunds will only begin to accrue after six months from the submission of completed VAT return.

Housing subsidy
A subsidy of $36,000 to those in income bracket of $12,000 — $27,000 annually.
For those with salaries between $27,000 — $44,000, a subsidy of $24,000. 

Gasoline
Phasing out of leaded gas by April 1, 2004. New grade unleaded gas  will be  introduced on a phased basis. This will retail  for $2.70 per litre.
The retail pump price for unleaded will be increased from $2.85-$3.00 per litre.     
Kerosene  and diesel increased to $1.50 per litre. 

Crime : Special Security Commission to act as “think-tank” led by Overand Padmore
Implementation of riot squad 
More foot patrols, fleet of vehicles and equipment to be increased.

Financial Security
Banks are mandated to provide adequate security to prevent unauthorised access to bank accounts. 

Energy
New oil and gas regime in 2004. Interim report done in May 2003, final report in one month’s time. 
Approximatelt $500m to Revenue  Stabilisation Fund

Increase in disability grant
Increased from $600-$650 and now includes those from age 18.

Allowance for Arts and Culture
Companies’ tax break increased from $450,000 to $1m for sponsorship in the arts, culture, visual  and video productions.

Gaming Industry -
Tax on slot machines increased from $2,000-$10,000.
On the poker table from $8,000 to $20,000. With the exception of pool table, which will fetch a fee of $2,000, other table and devices will now attract a fee of $10,000 per annum.
 Fees on other tables up by 25 percent.

Tobago
Total allocation approximately - $1.3 billion.
A new ferry service.

Transportation -
School transport system to be expanded. The PTSC will provide 20,000 seats per day at a cost of $20m annually, 200 maxis will provide transport 21,500 children at a cost of $20 m annually.

Health
For persons over 60, Chronic Disease Assistance Programme to be expanded to include arthritis, asthma, depression, among others.  
Inject $500m into heatlh sector reform programme.
40 new ambulances for early 2004 

Agriculture
To facilitate expansion in agro-processibg sector, an initial alowance of 100 percent be applied to capital expenditure on plant and equipment.
Introduction of tax credits and investment allowances.

Legislative reform
Amendments will be brought to Parliament on the Insurance Act, the Financial Institution Act, the Securities  Industries Act and the Co-operative Societies Act.
Legislation on mutual funds coming before the end of the year of the year.
Auction system for placing bonds on the domestic market to stimulate local capital market.