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‘I said 80 percent, not 25’
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Posted on Jan 07 2006
I was asked by one reporter what is my suggestion to bring in immediate infusion of cash into the government coffers given the financial crisis at CUC brought about by the sudden increase in fuel costs in the past year. I responded that since people are against the surcharge and/or rate increase, then an alternative may be to decrease the tax rebate rate to perhaps 80 percent. I never mentioned the figure 25 percent. These are choices that we as a community have to make immediately because somebody has to pay for the fuel costs. While I understand the concern by businesses that taxes retard their activities, it would take at least a year for the government to start collecting taxes from new investors.
In the meantime, the new administration has to cough up at least $4 million next month and thereafter in order to prevent blackouts. I sympathize with my successor for all the acrimonies that he or she will encounter due to competing community needs which our financial resources cannot adequately meet.
Fermin M. Atalig
Acting Finance Secretary
Capitol Hill, Saipan
