The Private Sector Commission (PSC) yesterday called on government to reconsider proposed changes to the Value-Added Tax (VAT) regime, while warning that they would hurt the business community by driving up costs and forcing higher prices on consumers.
In addition to the planned implementation of a 14% VAT on electricity and water, private sector leaders yesterday said that based on the proposals consumers would face higher prices for mobile internet and private education and health services.
“It will contribute to inflation. People will have to pay higher prices and it will inhibit growth in several business sectors,” Chairman of the PSC’s Finance and Economic Sub-committee Ramesh Persaud told a news conference yesterday.
