Monday, 13 August 2007 9:48 AM

Inland Revenue Explains Tax Relief to Gizo

Members of the Gizo Small Business Association have been briefed on how government will support businesses in the tsunami-stricken areas.

Key business owners in Gizo and members of the Western Provincial Government were informed of changes that had been approved by the Finance and Treasury Minister to help businesses with relief from goods tax.

Acting Commissioner of Inland Revenue, Ronnie Piva, explained that with the approved changes, exemption from goods tax will be granted to businesses, which is generally charged at 15 to 20 percent when purchasing items to replace buildings or plant and equipment.

He adds that in considering the exemption application, attention will be given to whether the property was insured, the taxation record of the applicant and any history of aid assistance to the property.
It was verified that no exemption will be granted for the replacement of stock in trade or goods purchased for resale.