“Over 50% shortfall in government revenue is expected this year based on current trends that we are seeing,” reported Minister of Finance Elbuchel Sadang at the national leadership meeting yesterday addressing the COVID-19 crisis. The government revenue shortfall is expected to affect not only this fiscal year but also the next fiscal year. It will […]
Tag: Ministry of Finance
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VAT would reduce tax evasion, says Sadang
Value-added tax (VAT) would reduce tax evasion by individuals, as the government will still push for tax reform by switching from gross receipt tax to VAT to bolster the government’s revenues. Finance Minister Elbuchel Sadang told members of the media during the Pacific Media Assistance Scheme (Pacmas) Palau Media Budget Reporting Training program last week […]
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MOF Minister calls EU’s blacklisting of Palau unfair
European Union has put Palau back on its blacklist of countries considered as tax havens this February 18, 2020. During the EuropeanUnion Finance Ministers meeting last week, they added Palau, Seychelles, Panama, and the Cayman Islands to their “naming and shaming list” of countries they deem “non-cooperative jurisdictions for tax purposes.” Finance Minister ElbuchelSadang, in […]
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Internet gaming law amendment mulled
Congress (Olbiil Era Kelulau’s) Senate and House JGA committees conducted a joint public hearing yesterday on a proposed House bill 10-124-12 to amend the existing internet gaming law, the Virtual Pachinko and Internet Digits Lottery law, increasing number of licenses from 4 to 10 and redefining the name of the games from Internet Digits Lottery […]
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HOD seeks to raise % of tax refundable donations
House of Delegates passed in its 3rd and final reading a bill to increase the amount of allowable tax refundable donation from 10% to 12% In the bill findings it states, “The Olbiil era Kelulau also finds that the increased percentage provides a greater tax benefit for working families and promotes enrollment and attendance in […]
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MOF, MOJ to crack down on internet gambling
Ministry of Finance and Ministry of Justice have activated an investigative unit to monitor businesses and individuals who are suspected of engaging in illegal online activities, according to a notice issued by the Bureau of Revenue and Taxation this week. “In light of recent discovery of potential commercial misuse of the internet by both licensed […]