The chairman of the Seychelles Chamber of Commerce and Industry (SCCI) Dr V. Ramadoss has welcomed the announcement by President James Michel to delay introduction of the Value Added Tax (Vat).
The government was planning to replace the Goods and Services Tax with Vat in July, but the SCCI has been urging it to delay the move.
“The postponement is what we were fighting for and we are grateful the President has agreed with us and given businesses more time to prepare for it, because honestly we were not ready,” Dr Ramadoss said in a press release.
In his National Day address on Monday, President Michel said that with the objective of facilitating the good performance of the private sector and to stimulate the economy during this period, the government has decided not to introduce the system of VAT this July as planned.
“We shall continue consultations and analysis on this matter,” Mr Michel said.
“I am very happy indeed. I’m also happy that the President has taken note of our concerns about money from tourism that is not coming into the country,” said Dr Ramadoss.
“When Mr Alain St Ange was appointed Minister for Tourism and Culture we pledged to support the industry when I called on him, and I’m glad that our voice in support of this important industry is being heard also,” Dr Ramadoss said.
In his address, President Michel said:
“The Ministry of Finance, Trade & Investment, and all partners must take measures to improve the foreign exchange yield generated by the tourism industry and which should all be entering the country but is presently not, and also to address the problem of foreign exchange flight.”
The SCCI chairman had strongly voiced his concern about the issue during the chamber’s annual general meeting (AGM) held recently.
Dr Ramadoss published an A3 coulour advert to thank President Michel for delaying Vat.