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BVI To Review Taxes And Fees, by Phillip Morton, Investors Offshore.com
Monday, March 15, 2010
British Virgin Islands Prime Minister, Ralph O’Neal has said that the territory
will run a budget surplus during 2010, although the government still intends to review indirect taxes and fees on financial services.
In his budget address, O’Neal said that revenue for 2010 would be around
USD271m, exceeding forecasted government expenditure of USD250m.
O’Neal said this would be achieved by streamlining spending in
the public sector and a number of revenue boosting measures including: an increase
in the taxation of alcohol and tobacco; and a comprehensive review of existing
taxes and fees. He also said that the payroll tax system would
be revised to create a progressive structure. He declined, in the interest of "brevity", to go into more depth on possible tax measures to be introduced during the course of the year.
Last year ran the BVI government ran an overall budget deficit of USD7m,
reporting total revenue of USD268m, a fall of 5% on 2008, and expenditure
of USD275.5m.
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