The National, Tuesday October 29th, 2013
THE Treasury Department intends to focus on business incentives for Papua New Guineans starting with micro-financing, tax reviewing and increasing the tax threshold to improve living standards, the department says.
The Office of Minister for Treasury said last Wednesday (Oct 23) that Treasurer Don Polye had already taken the first step to arrest the issue through establishing the people’s micro bank or the National Development Bank that will fund incentives for the people.
The department said it was undertaking a review of the tax level, with the establishment of a panel headed by Sir Nagora Bogan and K9.5 million funding for the exercise.
It has increased the tax-free threshold from K7,000 to K10,000 in an aim to offset the high cost of living for low income earners.
This clarification follows a series of questions frequently asked by MPs, particularly Goroka MP Bire Kimisopa on whether the government was pursuing the matter in the 2014 Budget.
Kimisopa said judging from the midyear economic and fiscal outlook report the country was doing well from taxes and revenues and the government should help Papua New Guineans to make use of the availability of money for business incentives.
Polye had said providing incentives was the responsibility of the department and it was that by creating efficient platforms to ensure there was progressive and sustainable economic growth in the country.