(iWitness News) – Prime Minister and Minister of Finance Godwin Friday says that his government will enforce tax collection rather than raise taxes amidst the high risk of debt distress that St. Vincent and the Grenadines (SVG) has been facing since 2016.
Friday reiterated his position during a joint press conference with the International Monetary Fund in Kingstown on Tuesday, as the Washington-based international financial institution gave its outlook on the Vincentian economy.
“The revenue strategy we’ve discussed… modernising and reforming our tax system. One of the areas that we’ve identified, of course, is the property tax enforcement,” he said.
“We said this in our budget presentation in the parliament, where I’m told that the current compliance rate is 20%, which is quite well, as I say, it’s low. It’s an understatement,” the prime minister said.
He said that properly enforcing existing laws could significantly boost revenue without adding new burdens.
