THA MOVING AGAINST ‘RESIDENCE’ GUESTHOUSES

Finance/Planning Secretary Dr Anselm London signalled the Assembly’s intention to have mechanisms put in place to collect taxes from the owners of such operations, during his presentation of the THA’s 2005/2006 budget at Tuesday’s special sitting of the Assembly.

The situation — where foreigners purchase land on the island, build "homes" and then utilise them as "guesthouses," with all transactions being undertaken abroad — has been a talking point in Tobago for many years, even as the sector expanded.

Focusing on the whole issue of revenue collection in Tobago to fuel the island’s expenditure, Dr London stressed that, notwithstanding the importance of allocations from the Central Government, the THA itself had a responsibility to "ensure that all revenues that remain collectible, but uncollected, are in fact collected. In the next fiscal year we shall, therefore, seek advice on the most appropriate means of ensuring that non-resident homeowners, especially those in the villa rental business, pay their fair share of taxes," the Finance Secretary told the House.

He also disclosed that as part of the overall revenue collection drive, visitor fees will now be instituted at certain tourist sites, including Fort King George in Scarborough and the Main Ridge Forest Reserve. The question of implementing user-fees for dive tours and reef-boat operations is also being actively considered, he said.

At the same time, Dr London revealed that the THA "will also impose fees on non-nationals for the use of its services at the Scarborough Hospital and at health centres."