Leading Dutch MP Impressed By Antillean Progress

Tax-news.com

18 January 2000

The chairman of the Dutch Parliament's Committee for Antillean and Aruban Affairs, Paul Rosenmöller, praised the progress of the recently formed Netherlands Antilles government, particularly in reforming the territory's finances, when visiting Curaçao for the Mini Contact Plan meetings last week.

Mr Rosenmöller said the Pourier government, which took office in November last year, had made "an impressive start" with its package of reform measures, and that he was now more optimistic about the territory's future than he was a year ago when the Antillean government found itself in financial crisis. He also suggested that the Dutch government should take note of Antillean efforts to reduce the size of their civil service, which has recently been cut by 30 per cent.

Relations between the Dutch Government and the Netherlands Antilles have improved recently following the Dutch Government's decision to provide financial assistance to reduce the Netherlands Antilles' huge deficit.

One matter which Mr Rosenmöller said he was concerned about is the problem with collecting taxes on the islands, particularly the Turnover Tax. "It doesn't make sense to impose a five per cent Turnover Tax when it is not properly checked whether the tax is actually paid. It means that Government is getting tens of millions less in revenues," he said. He then suggested that the Dutch Government should consider making available some of its experts to help the tax departments collect their taxes more efficiently.

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