By GABRIEL KATUHO
THE recent adjustment in personal income tax will exempt low-income earners while aiming to ease the financial burden on the general population amid rising inflation, Prime Minister James Marape says.
He said this upon his return from Australia on Tuesday. Addressing concerns from the media, Marape acknowledged the inflation challenges in Papua New Guinea’s import-dependent economy.
He emphasized the government’s commitment to maintaining inflation below 5%, especially benefiting small-wage earners.
Marape highlighted the increased non-tax-paying threshold of K20,000, providing additional relief to individuals.
Marape highlighted the increased non-tax-paying threshold of K20,000, providing additional relief to individuals.
He urged collective responsibility, emphasizing the established tax regime, and defended the government’s continuity of the policy introduced 15 years ago.
Marape assured that those earning above K20,000 would share the tax load, contributing to a fair distribution of financial responsibility. Furthermore, the government collaborates with the Independent Consumer and Competition Commission (ICCC) to establish a task force, ensuring businesses refrain from unwarranted price hikes.
Marape assured that those earning above K20,000 would share the tax load, contributing to a fair distribution of financial responsibility. Furthermore, the government collaborates with the Independent Consumer and Competition Commission (ICCC) to establish a task force, ensuring businesses refrain from unwarranted price hikes.
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“We lifted the burden. Today they take home additional K70 we help them cover for that additional price. I know it is not sufficient, they carry the load but we as the responsible government increase the non-tax paying threshold to K20, 000,” he said.
“We lifted the burden. Today they take home additional K70 we help them cover for that additional price. I know it is not sufficient, they carry the load but we as the responsible government increase the non-tax paying threshold to K20, 000,” he said.
“I know some who earn above K20, 000 are complaining that tax is at 30%, 40% etc. I just want all of us to share the load. We have a tax regime as far as personal income tax is concerned, where we help the low-income earners but those who are earning a little bit more, assist us carry the load,” he said.
The PM said this was not a new tax that the Marape-Rosso government has introduced.
He said it was a tax regime that Somare and O’ Neil government have lived with.
Meanwhile, Marape said the government is working with the Independent Consumer and Competition Commission to set up a task force team. This team will conduct thorough inspections on business houses to curb unjustified price increases.
