Vice President Dr. Bharrat Jagdeo on Tuesday met with miners at the Arthur Chung Conference Centre where he announced three measures to cushion the effects of increasing prices in the mining sector.
Among the measures announced, was that the tax applied on miners income being reduced from 3.5 percent to 2.5 percent.This reflects a one percent reduction and the Vice President noted that this reduction translates to $1.4bn.
Additionally, the 10 percent tributors tax has been removed completely. This, Dr.Jagdeo explained will "resolve a loss of about $300 million dollars in taxes."
Meanwhile, the 14 percent Value Added Tax (VAT) previously imposed on lubricating oil has been removed completely.
He said this will bring benefit across the board and not only to the mining sector.
These measures combined together will see approximately $1.9bn being reinjected
into the industry. Some $2.4bn will also be spent to upgrade roads in mining areas.