VAT on private education does not cater for parents who sacrifice a lot to send their children to private schools

Dear Editor,

The importance of education cannot be stressed enough. We know that education is the key to the future, the key to success and the key to this country’s growth. I can’t understand therefore how it is even possible to consider taxing such a crucial service, or indeed a service like private health care for that matter.  Unfortunately the damage has already been done and I am concerned for my future and that of my colleagues who are in the private education system.

A good is one which has positive side effects when consumed and education is surely the epitome of such a good, indeed, it is the key. Those agencies which have this vision at heart and who provide supplementary opportunities for education should not have to bear the burden of this VAT. They need to be encouraged to continue and to expand their vision, for it will only benefit the entire country when even more capable minds are sent into society.

Furthermore, the incidence of this tax on private education will be passed on to the consumers who are already making sacrifices to send their children to these private schools.  I am fully aware that there is public education available but, without a doubt, it has many challenges. Tens of thousands of public education consumers are clearly not satisfied with public education alone since the majority of them send their children to private lessons. I understand that there are very fortunate people who send their children to private schools and can easily afford it, but there are many others who are humble and have hard-working parents, that I can tell you from first-hand experience, sacrifice a lot to give their child the best opportunities. This tax imposition does not cater for these people.

Economic theory states that if the price of a substitute goes up (private education fees rise due to taxation) the demand for the other good increases (more people demanding public education). There will be an increase in demand for public education which may well outstrip the capacity of the already overburdened education sector thereby causing a poorer quality of education for all of our citizens. How will the government be ready to deal with this? Private education provides quality, supplemental services which include quality computer laboratories, air-conditioned classrooms, ample playground and yard space and, most importantly, excellent teaching. There are few public schools that meet some of these standards and, it can be argued, the majority lack most of these characteristics of a quality education.

Public education only offers CXC and CAPE examinations. Some private schools give the important opportunity to write exams like GCE, ABE and SATs. These are all far more internationally preferred and recognised examinations that give students a better opportunity to compete on the international stage.  Once this new VAT tax is applied, those middle class families that want their children to write these exclusive examinations will be confined to CXC/CAPE examinations.

I can only hope that my opinion is heard and valued by someone who has the power and vision to see beyond short- term, government revenue, and who understands and appreciates the crucial contribution that quality education can play in building a better Guyana.

Yours faithfully,

Othniel Lewis

Student

Nations 6th Form College