Fair sharing of ‘tax credit’ projects eyed

CONCERNS have been raised on how tax credit scheme projects are overly concentrated in resource provinces and Port Moresby instead of being spread nationwide.
This was on the basis that money used for projects was ultimately National Government’s in the form of exempted tax payment, says National Planning and Monitoring Secretary Hakaua Harry.
“Project locations is one of the challenges that we face,” she said.
“I think the purpose of the tax credit scheme is for our partners to go out to the remote areas and to help us implement infrastructure projects. There are loopholes in the current tax credit scheme guideline.”
Harry said national infrastructure tax credit scheme projects were outside of the department’s programme guidelines.
“We also have concerns about the implementation or implications of the national infrastructure tax credit scheme projects,” she said.
“This particular fund is currently outside of our tax credit scheme guideline, as the approval of the national infrastructure tax credit scheme projects is through National Executive Council.
“These are projects like the Sir Manasupe Haus, Apec Haus down at Ela Beach and the (rugby league) stadium.
“There a lot of people who say that Port Moresby is not Papua New Guinea, and that resource provinces should be the focus.
“But again, as my minister (Maru), says the tax credit scheme belongs to the whole of Papua New Guinea.”
The total expenditure for national infrastructure tax credit scheme projects amount to K248 million.