Following a meeting at the Ministry of  Finance yesterday the insurance industry is expressing optimism that changes will be made to the plan to impose General Consumption Tax (GCT) on group health insurance.
The talks involved insurance executives and technocrats in the Ministry. The meeting was convened for the executives to voice their objections to the tax measure which is scheduled to take effect on April 3.
Richard Byles, Chief  Executive Officer of the Sagicor Group, told RJR News that some progress was made as the matter will be further considered by the government.
“We think our arguments are quite strong… We’re hoping that the Minister will look on them favourably… and that he will give us a fabourable response,” he said.
The Finance Ministry has asserted that the increase is a minimal $700 to $800 more per employee, but the sector says its own research puts this figure at well over $1000.
“It is a tax that is very targeted at a certain section of people – the working population who have a little health insurance, which is just 30 per cent of the workforce and it is pretty hefty when you look on it per individual, and from that point of view I think it is not right,” he declared.