By Johnnie Rosario
Republican senators Telo Taitague and Joanne Brown Wednesday spoke out against the cutting of taxes for struggling small businesses, a stance that is in direct conflict with their party.
Today the Republican Party of Guam issued a strong and unequivocal statement in support of two bills that accomplish the same objective of lowering the tax burden on small businesses. Here is that statement:
The Republican Party of Guam expresses its support for Bills 72-36 and 74-36. These measures propose to make permanent the provisions of the Dave Santos Act, which provide limited Business Privilege Tax (BPT) exemptions for small businesses.
These two pieces of legislation would assist small businesses, who now more than ever need the assistance, by reducing the BPT from 5% to 3% on the first $250,000 of gross annual income earned by a business whose annual income is under $500,000. Governor Lou Leon Guerrero requested lawmakers to take the heed and submit to her legislation with these objectives, and she would sign it into law.
Bill 72-36 is introduced by Senators James Moylan, Tony Ada, and Chris Duenas. Bill 74-36 is introduced by Senators Joe San Agustin, Tina Muna-Barnes, Jose “Pedo” Terlaje, Clynt Ridgell, and Mary Torres.
The Republican Party (Guam & National) in general believes in the concept of supporting the growth of commerce activity through tax reductions. This would provide businesses the opportunities of either investing the savings in their operations or their employees; reducing prices; or simply apply it in some manner which would boost the economy by putting more money into circulation. Ultimately this activity would help fuel tax revenues to sustain government operations.
The Guam GOP further requests lawmakers to amend the Dave Santos Act by increasing the exemption amount from $250,000 to $500,000. This can be accomplished by either passing Bill 3-36, which was introduced at the start of the term by Republican Senators James Moylan, Tony Ada, Chris Duenas, and Frank Blas Jr., or by amending Bills 72-36 and 74-36 to accomplish this objective.