Tourism Minister Says Dominica Should Not Remove VAT on Service Charges

Tourism and Legal Affairs Minister, Honourable Ian Douglas

Tourism and Legal Affairs Minister Honourable Ian Douglas is of the view that, a move by the St. Lucia Government to excused hotel guests from paying Value Added Tax (VAT) on service charges should not be copied in Dominica.

Mr. Douglas says he is skeptical about this move being done in Dominica.

He also added that he certainly would advise against playing around with the VAT, especially as it is the base of our economy at this moment.

The Tourism Minister also pointed out that all revenue collected by the VAT is crucial to the Government seeing that the world is still suffering from the effects of the global financial crisis.

He said this cannot afford to happen here as the VAT is the basis upon which our economy sits.

Mr. Douglas says that St. Lucia and Dominica has different economies, so whereas it may be good for them to remove the VAT on service charges it may be disastrous for Dominica so we cannot compare.

 

© 2012 SAT Telecommunications Ltd.

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