Colm: Online taxes stay

He attributed the claims made by Opposition Senator Wade Mark to the local govermment election campaign and said Mark, “is trying to scare people.” Referring to the legal opinion on these issue which he received from the Treasury Solicitor, Imbert explained, “I asked for this opinion for two reasons. One to be careful and secondly, I did not want to advise myself.” He explained that the opinion confirmed that matters contained in the Provisional Collection of Taxes Order, which took effect on October 20 during the Budget debate, “needed to be confirmed in the House of Representatives only within 21 days.”

Imbert said Government confirmed the Order in the House on November 9, well within the 21 day period. He added the Order confirmed the collection of the online purchase taxes and one of the tobacco taxes. Regarding motions to approve customs and excise duties on alcohol and tobacco products, Imbert explained, “The law simply requires that the measure be submitted to Parliament within 21 days. There is no requirement that the motions dealing with the customs duty and the excise duty on alcohol and tobacco be passed by the Senate within 21 days.” He said this was done when, “we submitted them to the Parliament on or before November 9 when it went to the House.”

Imbert was unfazed by Mark’s threat of legal action. “He’s (Mark) been in Parliament for a very long time and he is well aware of the four month provision with respect to confirmation of taxes imposed in the Budget. That has been done so many times, it’s not funny,” Imbert said. Observing that over the last year 80 percent of the matters dealt with in Parliament were financial ones, Imbert said a careful analysis over the last 30 years would show that the Finance Act is always handled within a four month period. “There is no urgency to do it. We could have done it within the time period if we wished to but there is no requirement for it to be done within the 21 days,” he reiterated.

Noting all these matters were dealt with during the Budget exercise over the last month, Imbert said the new Standing Orders make it “virtually impossible” to complete the Budget exercise and then return to Parliament to do a provisional collection of taxes order within 21 days. He explained this was due to the Budget exercise now taking place over three weeks.

The minister hinted it may be necessary to extend the period from 21 to either 28 or 35 days for the confirmation of taxes order.

Imbert also said he sought the Treasury Solicitor’s opinion because of a threat by Opposition Leader Kamla Persad-Bissessar to challenge the legitimacy of the online tax in the House on November 9. He observed that although he got the evidence to show this tax is legal, Persad-Bissessar “didn’t even turn up (in the House on November 9).” Imbert said he felt it wise the Treasury Solicitor also examine the customs and excise duties on alcohol and tobacco. He added this was how the Treasury Solicitor reached her opinion on all of these issues. “That was my motivation,” Imbert said.