Companies owe over $50b in income tax to Government

There is a growing trend here in Jamaica, where companies deduct income from workers salary but fails to pay it over on time to the government. Many companies are using these taxes as working capital to run the business, pay no interest on these monies,. which are virtually free money on which they make extra income.

With the abolition of PIT many companies will have problems with working capital to run there business as this “free” money, will not longer be available.

These companies have the next 5 years to move away from this practice, because of the JLP gets it right, PIT will be eliminated by then.

Is it ethical to use money deducted from workers salary as working capital ?

 

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