Reduce taxes for working people

THIS is in response to the letter “No sign of public servant’s 3 per cent 2020 CPI payment” by confused public servant in The National published recently.
Let me correct the writer that the 3 per cent consumer price index (CPI) increase is not mandatory for the next few years.
That is the prerogative of the Government to award hardworking public servants at a given rate in response to economic outlook of each budget year.
In saying this, the 3 per cent increase predicted by the writer for this year alone is misleading, it could be at an increase or either decrease rate but it will capture years 2020 to 2022.
The delay in the CPI increase has generated a lot of public backlashes from trade union and employee associations and Department of Personnel Management should liaise with Treasury and Finance Department to lay this to rest.
The National Budget of K19.6 billion was passed in the eve of the political crises and it should capture the public workforce’s salary fixation.
The upsurge in the prices of general goods and services, besides the impact of the pandemic, has forced working classes to dig deeper into their pockets.
The increased CPI will relieve people from financial constraints.
Public servants are sweating their guts to provide something on the table for their families, the income taxes, goods and service tax are ripping off the workers income.
There is big gap between the high and low income earners and the highly paid government top executives are not sensitive to adjustments in their salaries.
While some are enjoying high pay with its perks and privileges, lower income earners are relying on low quality foods while living in settlements.
The Government should reduce income tax and abolish point of sales tax at shopping centres for public servants.
If CPI is not given prominence as seen in 2017, 2018 and 2019 with an inconsequential 3 per cent, Internal Revenue Commission should reduce income tax for the public servants.

Jeffatu Lypin Lokait,
Pom