Jamaica Gleaner
Published: Saturday | May 2, 2009
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Walker eases book stalemate
Petrina Francis, Staff Reporter

COMMISSIONER OF Customs Danville Walker yesterday gave instructions for books currently on the wharves to be cleared under the existing rules until the new guidelines for general consumption tax (GCT) on books are finalised

The Government last week announced that GCT would now be applied to books and other printed material, which are not educational or religious. The tax was to take effect on Monday.

However, concerns were expressed by the Customs Brokers' Association that books have been languishing on the wharves since Monday because there was a confusion on which books would be taxed.

The commissioner of inland revenue is to determine the list of books that will not attract GCT. Up to press time last night, the list was not ready.

"I met with the new head of the Customs Brokers' Association and asked him to get out the information that books can be cleared under existing rules until new rules are finalised. If there is a change, one can always collect the extra duties," Walker told The Gleaner yesterday.

Meanwhile, the Book Industry Association of Jamaica (BIAJ) has expressed concerns that some book dealers and publishers would be forced out of business with the imposition of GCT on recreational printed material.

Chairman of the BIAJ, Franklyn McGibbon, said with the financial challenges now being experienced by most Jamaicans, the sale of recreation books was likely to decline further.

McGibbon said a tax on recreational books would also serve to erode developments made in national literacy.

The BIAJ yesterday met with Finance Minister Audley Shaw to discuss the issue. However, up to press time, the two parties were still locked in a meeting.

In 2003 and 2005, the BIAJ successfully lobbied for a reversal of the decision of the then People's National Party administration to place a tax on books.

Meanwhile, the Government also announced that computers would now attract GCT.

Prime Minister Bruce Golding yesterday advised parents wishing to purchase computers for their children, to do so through the schools to avoid the GCT.

On the concerns being expressed about taxes on computers, Golding, speaking on 'Jamaica House Live' on Wednesday, said the majority of the computers being brought into the island were not being used for learning.

He said banks and various business operations have thousands of computers and as such could not be allowed to get them tax-free.

Golding said items for entertainment or business, such as lifestyle magazines and computers for banks and insurance companies, would now be taxed. "Everybody has to throw something in the 'kitty' to help this country through the challenging economic crisis," Golding said.

petrina.francis@gleanerjm.com

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