Netherlands Antilles Senator Laments New Tax Measures

by Robert Lee, Tax-News.com, London

05 September 2001

In response to Finance Minister Russell Voges's public statement last week signalling the introduction of a tax on property and the increase of surtax, Senator Roland Tuitt has urged the Finance Minister to reconsider his decision. In a statement entitled "Elimination of the Middle-Class" the Senator claimed that the Democratic Party of St Maarten 'is not working in the benefit of the people of St Maarten nor the Netherlands Antilles.'

He illustrated that the cost of house repairs and maintenance was deductible until January 2001 after which time only 2 per cent of the value of the house became deductible - up to NAf.3,000. 'Thus all repairs you do after a hurricane cannot be deducted for more than NAf. 3,000,' he complained.

Senator Tuitt was also scornful of a new law that Voges is about to introduce to parliament that raises the surtax for islands within the Netherlands Antilles from a maximum of 30 per cent to 50 per cent. Tuitt declared: 'The new law will allow the islands to charge a surtax of 50 per cent on the Turnover Tax. This will increase the Turnover Tax from the present three per cent to 4.5 per cent. I have the Minister explaining these things on tape, in English. So no one can say later that it isn't true.'

As a result of the changes, Senator Tuitt explained that 'up to the year 2000, people with children studying abroad could deduct up to NAf. 25,000 per year per child. As of 2001, only NAf. 10,000 is deductible per child per parent.'

The Senator added: 'These taxes are not good for anything. Okay, they give the islands the possibility to get some more revenue, but at the same time the people are only being taxed more. And, in a time of recession, government should be giving tax credits. But this Government is in the business of making our people poorer than they already are.'

Recommended