Also discussed at today’s House sitting was the BTL situation.
You’re probably asking which one right? Well it’s the approximately
$6 million that the government claims BTL owes in business tax. Since January,
BTL has been with-holding its business tax payments based on the strength of
a secret agreement signed by the last government which authorises BTL to withhold
taxes so that it can recover $18.6 million that it had to spend on……?
What else? Recovering the Intelco assets secretly guaranteed by Social Security.
It is the rotten cherry atop a colossal mess and one the Barrow administration
has been trying to work its way out of. And that has meant ignoring the agreement
and demanding payment in full of the tax. And today, BTL was summoned to the
court before the Revenue Magistrate to answer to one count of non-payment which
is only for January. But the matter was not heard, and Luis Requena who is the
senior bailiff with the Income Tax Department told us why.
Luis Requena, Senior Bailiff
“Taxes owed by BTL and other conjunctive companies submitted a check
for $1.5 million probably yesterday, I don’t know when they received the
check, but covered the taxes owed by the companies and as you all can see we
went to court to withdraw which was the proper procedure.”
BTL was represented by Eamon Courtenay. And while January has been
paid, February, March and as of tomorrow April are all due. But today in the
House, Prime Minister Dean Barrow said that for the time being – they
are holding off on issuing summonses for those months because government will
have discussions with BTL, discussions which may even extend to recovering the
$20 million Venezuela housing grant.
Hon. Dean Barrow,
“The summons that was issued was with respect to the business tax
for January. Business from our point of view is also owing for February and
for March and by now for April. We will not issue any additional summonses immediately
to see if the process of discussions that will start will get anywhere.
While the discussions are principally about the Accommodation Agreement
which the former Prime Minister signed and the bundle of accompanying subsequent
agreements, one of which at least was witnessed by the member for Freetown,
the discussions will also look at the possibility of the moving force behind
BTL working out an arrangement for the payment of $20 million that as you know
this government insists is owing to the government and people of Belize by the
Belize Bank. I don’t want to get too much into that but I just want to
signal that that issue is also a part of the discussions that will be taking
place.”
The talks between BTL and the government are expected to start tomorrow.
We are told that those discussions follow a Saturday meeting between the Prime
Minister and Michael Ashcroft – who the Prime Minister just referred to
as ‘the mover behind BTL.’ Reports say the meeting lasted almost
three hours, and was contentious. And though the money was paid, reports to
us say that BTL had already filed an injunction against today’s proceedings
in a British Court because, again as part of the secret accommodation agreement,
the former Prime Minister agreed that it would be subject to arbitration in
the UK.