On Tuesday, the House of Assembly sought to amend sections 2, 6, 12 and 26 of the Fiscal Incentive Act Chapter 15:16. As a result, cabinet will have the discretion to grant complete and partial exemptions of the income tax declared by a private enterprise.
Minister for Commerce Emma Hippolyte said companies over the past 15 years have benefited from the incentive process. Despite the positive intentions of some attractive incentive regimes, which include tax breaks to give impetus to the economy, there are concerns about wanton abuse of the system.
Some companies, which have taken advantage of the incentives offered by the state repeatedly, return to government seeking additional concessions.
The commerce minister said the process warrants review and the relevant ministries are working to reform the regime.