Bermuda Editor To Stand By Controversial Income Tax Story

by Mike Godfrey, Tax-News.com, Washington

23 August 2002

Politicians and taxpayers alike are awaiting with interest the promised 'clarification' of a story run last month by the Mid-Ocean News, which reported that the PLP government had been in consultation with the Canada Customs and Revenue Agency (CCRA) about the best way to impose an income tax in Bermuda.

Despite Finance Minister, Eugene Cox's strong denials immediately following publication of the article, and a subsequent retraction request issued by Permanent Secretary, Donald Scott, the newspaper's editor, Tim Hodgson has stated that he stands by the story, and plans to publish a clarification in today's edition of the local weekly.

Speaking to the Royal Gazette on Wednesday, Chris Lodge, news director for Bermudian broadcaster, VSB commented that: 'The ball is in their [Mid-Ocean News's} court. It's pretty much at a deadlock until the Mid Ocean can say 'here's the proof'.

Editor of the Royal Gazette (which shares the same parent company as the Mid-Ocean News, but is editorially a separate entity), William Zuill refused to be drawn on the dispute, beyond observing that perhaps the newspaper may genuinely have gone back to its sources in an attempt to substantiate the claims made in last month's article.

'Alternatively, the paper realises that it erred but is hoping that if everyone forgets about it, no apology, clarification or explanation will be necessary,' he suggested.

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