“NO GENERAL CONSUMPTION TAX (GCT) ON ELECTRIC BILLS FOR RESIDENTIAL CUSTOMERS” SAYS PRIME MINISTER PORTIA SIMPSON MILLER!

By Daraine Luton, Senior Staff Reporter —–

Prime Minister Portia Simpson Miller has announced the removal of GCT on electricity bills for residential customers.

In making her contribution to the Budget Debate in the House of Representatives today, Simpson Miller said the move will benefit persons doing businesses from their homes.

The Simpson Miller-led People’s National Party had promised to abolish GCT from electricity bills if it formed the Government.

But in making his opening presentation in the 2012-2013 Budget Debate in the House of Representatives, Finance Minister Dr Peter Phillips announced changes to the way in which GCT is to be charged.

The minister said that, as of June 1, no GCT would be charged on the first 300kWh of electricity consumed, up from 200kWh.

However, the tax would move from 10 to 16.5 per cent.

The measure was expected to earn the Government $430 million thisfiscal year.

Today, Simpson Miller said her Government has not been able to fulfil all its campaign promises because the previous government had mismanaged the economy.

She also said it was not possible to fulfil all promises within five months of being in Government.

Phillips, when he opened the Budget Debate, told the House that of the approximately 500,000 JPS residential customers, 377,000 consume less than 200kwh of electricity each month.

He said the new tax directives will result in 90 per cent of JPS customers not paying GCT on light bills, up from the initial 76 per cent.

“The proposed measure should relieve approximately 80,000 additional residential customers from the payment of GCT on their electricity bill at the new threshold level of 300kWh, leaving only 52,000 residential customers subject to GCT,” Phillips said.