The American Samoa government treasurer, Dr Falemalo Phil Pili, says he has recommended to the governor a repeal of the two percent wage tax.
Dr Pili made the statement when he was summoned to testify before a Senate committee, which was discussing the status of just over US$7 million collected from the wage tax, to fund operations of the hospital.
He says he has serious concerns over this wage tax, which was enacted in 2011 and has recommended to the governor to repeal it and look at other ways to collect revenue for the hospital.
Dr Pili said a review by his office of the wage tax found it to be an unfair tax because not all wage earners pay.
"Independent contractors, they are not even paying two percent wage tax, so only a few of us are paying the two percent."
Meanwhile a bill to repeal the wage tax was introduced last week in the house but committee hearings have yet to be scheduled, and the current session of the Fono ends this weekend.
