By Nazario Rodriguez Jr.
Horizon news staff

A bill seeking to require the Director of the Bureau of Revenue, Customs and Taxation to allow debts of the national government or its subdivisions to private businesses to be offset from gross revenue tax owed by such private businesses was passed on first reading at the House of Delegates (HOD) on Nov. 2.
Delegate Noah Secharraimul introduced HB No. 7-188-12 stating the fact that the national government procures goods and services from many private businesses.
He said that due to inconsistencies in cash flow and billing, the National Treasury is occasionally late in making payments to local vendors.
Secharraimul said that a mandatory offset provision will allow the National Treasury to retain such cash reserves for other needs in addition to allowing businesses to receive timely compensation in the form of a reduction in gross revenue owed.
Wholesale businesses, persons engaging in professions, financial institutions and other businesses pay four percent gross revenue tax.