Chamber of Commerce board chairman on tax rollback: Businesses need to reinvest in people

Chamber of Commerce board chairman on tax rollback: Businesses need to reinvest in people

With a public hearing on Sen. Shawn Gumataotao’s Bill 11-38 just around the corner, Guam Chamber of Commerce board chairman Tae Oh says it’s the closest the business community has come to seeing Guam’s business privilege tax revert from its current 5% to 4%.

The BPT was supposed to be a temporary fix as Guam projected a severe revenue decline due to tax cuts during the first Trump administration. Along the way, the 5% became permanent.

Businesses have clamored for a return to the 4% BPT, which Gov. Lou Leon Guerrero has staunchly resisted, citing its impact on revenue and the second Trump administration’s tax cut extension.

“Everyone assumes there’s a reduction in GRT and there’s going to be a price decrease,” Oh said in his remarks at a Rotary Club of Tumon Bay luncheon on May 13 at Crowne Plaza Resort Guam in Tumon. “But what a lot of folks don’t realize is businesses on Guam right now really need to reinvest back into their people, their staff and their infrastructure.”

Source: Google News