CFT gives Government extension to substantiate its income

April 28, 2010 6:15 AM

The Committee for Financial Supervision CFT has given the Executive Council an extension to substantiate most of the extra tax income estimated by government as collectable this year to fill a deficit of NAf. 23 million.

The council has to present this substantiation on Tuesday, May 4.

In its April 13 letter, CFT had given government 14 days to provide reports and substantiations of its additional income projections for wage and profit taxes noted in the budget as sufficient to cover the deficit. However, the committee doubts the additional back taxes can be collected in 2010.

If government does not respond in a timely manner, CFT will inform the Kingdom Council of Ministers that the budget does not comply with the established rules and norms.

CFT can also request that the council instruct the National Alliance (NA)-Heyliger government to take up CFT recommendations for "complementary income-increasing or cost-lowering measures."

In CFT's view, the 2010 budget does not comply with norms and rules laid out in the General Kingdom Measure on Temporary Financial Supervision AMvRB because it is not balanced.

28 April 2010