27 Nov 2007

Palau government includes several new taxes in budget

11:27 am on 27 November 2007

Several new taxes are included in a budget bill introduced by the Palau Government.

The bill proposes a 4-point-5 percent tax on gross revenues for retail and wholesale businesses.

It also proposes a 4.5 percent tax on net income of any business operating a financial institution.

The budget bill also includes a hotel room tax of 10 percent and a 10% surcharge for rental cars, motorcycles, mopeds and boats.

The government also wants to double all fees and charges related to water useage and will impose a US$3 per month per sewer connection.

A US$20 airport departure tax is also proposed, and a US$1 per kilogram charge on sashimi grade tuna exports and 50 cents on other exported fish species.