No property tax or income tax to be implemented in Cayman
On September 3, 2009, leader of Government Business McKeeva Bush vowed that the Cayman Islands would not seek to implement a property tax or an income tax with a view to help the country get out of its current financial bind.
According to Mr Bush, going this way would change the uniqueness of the jurisdiction’s economic base. Therefore he promised not to support those 2 suggestions.
He also said that the current administration would not assent to a value added tax (VAT), either.
On September 7, 2009, Government officials are to bring a proposal to the UK’s Foreign and Commonwealth Office. The proposal is to provide details of Cayman’s short, medium and long–term plans for financial viability. The approval of a foreign office’s is needed to the Cayman Islands for borrowing more money.
It is worth mentioning that the jurisdiction ended its last fiscal year on June 30 with an operating deficit of more than CI$ 80 million and, if no budget cuts are made and revenues continue to fall, it is predicted that there would be a $132 million gap by that time next year.