PORT OF SPAIN, Trinidad, CMC—Finance Minister Colm Imbert on Tuesday dismissed claims by Opposition Leader Kamla Persad Bissessar that she had proof the Government is considering increasing the value-added tax (VAT) to raise revenue.
In a message posted on X, formerly Twitter, Imbert described the Opposition Leader as “ a dangerous liar,” dismissing her public statement that she had proof to show the Government was moving to increase the VAT.
“All she has is calculations showing the effect of decreasing or increasing taxes on revenue,” Imbert wrote.
Speaking at a political meeting of the United National Congress (UNC) on Monday night, Persad Bissessar, who last weekend claimed that the country was broke and that the Keith Rowley government was considering increasing the 12.5 percent VAT as well as other tax measures to raise money, said she now had proof to substantiate her allegation.
But Persad Bissessar told her supporters that she does not engage in “fraud” or “fake documents,” insisting that she had the documentary evidence of the proposal to increase VAT.
“Here is the proof,” she said, pointing to a picture showing the purported Cabinet note 1032 with appendices 1 to 4.
She said the note, dated May 21, 2024, stated that submitted for the consideration of Cabinet was the Supplementary Appropriation in the aggregate sum of TT$2,328,099,600 (One TT dollar=US$0.16 cents) to fund urgent and critical Recurrent and Capital Expenditure to September 30, 2024
It also showed a proposed timetable for the passage of the Bill through both Houses of Parliament. The Opposition Leader made particular reference to page 23 of the document, stating, “Notwithstanding the need to increase FY24’s expenditure …to ensure the delivery of the aforementioned essential services to the citizens of Trinidad and Tobago, the Government is mindful of the possible effect of such disbursement, and its impact on the economy.
“As such, additional appropriate measures will be taken to ensure no divergence from its existing prudent fiscal management. As a consequence, further revenue-generating measures are under consideration and may be instituted at a later date (Appendix IV refers). In addition, the Government will take the necessary steps to seek an increase in its overdraft facility at the Central Bank from 20 percent to 25 percent of annual revenue.”
She told supporters that the document also listed the proposed revenue-generating measures, which included a VAT increase and other measures expected to raise an estimated TT$2.713 billion.
She told the meeting that the evidence was in “black and white.”
However, in his post on the social media platform, Imbert said that the Opposition Leader has engaged in a pattern of lies over time and that “this pattern…started with her bogus inheritance tax.”
In March of this year, Persad Bissessar said she wanted to warn the population about the government’s implementation of an inheritance tax.
“The inheritance tax is coming, so what will happen when you leave it (property)? I’m warning you again: you don’t listen sometimes,” she told me at a UNC meeting.
However, in a statement, Imbert described the Opposition Leader’s claims as “ludicrous, fabricated and outrageous” and said she had no evidence or basis to support them.
“This malicious allegation is untrue and is a figment of the imagination of the Leader of the Opposition. No such inheritance tax in any amount whatsoever or any other similar new tax in any form or fashion is being contemplated by the Government. There are no plans to impose such a tax, proposals, or discussions. No planning is taking place at the Ministry of Finance on the idea of such a tax,” Imbert said.
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