GST on food debate to be reopened

BBC Deputy Aidan Matthews - A man with scruffy brown hair, wearing glasses. He has a bushy brown and grey beard. He is wearing a blue and white pinstriupe suit with a black backpack strap over his shoulder. BBC
Deputy Aidan Matthews has been a long-term opponent of the inclusion of GST on food

A debate on whether food should be included in any potential goods and services tax (GST) is set to be reopened next week.

Deputy Aidan Matthews said he was likely to lodge a proposal to debate the issue again.

Earlier this year, 24 deputies voted to ensure food was included in a GST, if Policy and Resources' tax reform plans are approved next week.

A number of other amendments to P&R's plans are also set to be lodged on Tuesday.

Deputy Andy Sloan said he was considering an amendment to introduce family child allowances. He added he was also thinking of an amendment around a flat tax regime of 15%.

Other proposals which have been worked on by other deputies include a scheme to exempt locally-produced products from a GST.

Earlier this year, Deputy Lee Van Katwyk told the Guernsey Press he may put forward an amendment to increase income tax rates instead of a GST. He said he no longer plans to do that.

The island's newest politician, Deputy Ross Le Brun, said he was looking at an amendment to register visiting traders in an effort to get more tax from them.

Deputy David Goy has found a seconder for his productivity incentivisation tax package, but a number of deputies have said they would vote against debating it if the opportunity arose during debates next week.

After expressing concerns earlier this year, Deputy Andrew Niles said he would not look to exempt fees for the private colleges from GST.

If approved by deputies, P&R's tax package will come into force in 2028.

P&R members have told the BBC that, if their tax reform plans are rejected, it will not mean the States reverts to the decision of 2024 to approved a 5% GST, lower income tax rates and social security reform.

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