Government Defends Budget, Rejects Opposition’s Claims Of Unfair Taxation

Minister of Land and Legal Affairs, Saddam Hosein, has accused the Opposition of hypocrisy and urged them to “stop misleading the population with political propaganda.”

His comments came in response to Opposition Leader Pennelope Beckles-Robinson’s criticism of the 2026 Budget, which she claimed fails to introduce meaningful revenue-generating measures while instead burdening ordinary citizens with increased taxes.

Beckles-Robinson stated: “What is particularly astonishing is the government’s plan to raise over two billion dollars in fiscal 2026 through a draconian 100% increase in taxes on alcohol, especially locally manufactured rum and beer. No government in the history of Trinidad and Tobago has imposed this level of punishment on ordinary people, whose only relaxation is often the occasional drink on a Friday night after a hard week’s work, or a river lime, or at the beach, on a weekend, or at a gathering at a friend’s home.”

In defense of the tax measures announced on Monday, Minister Hosein pointed to similar actions taken by the previous administration, highlighting past efforts to address public health concerns through taxation.

“History and record will bear us out today. Do you know that the Member for Diego Martin North East when he was the Minister of Finance in fiscal 2017 said this, over 3 million deaths occur every year because of the harmful use of alcohol. So he proposes to increase with effect from October 20th, 2016, the excise duty on locally manufactured tobacco by 15%, as well as on alcoholic products by 20%. This is expected to yield $60 million.”

During the Budget reading on Monday, Minister of Finance Davendranath Tancoo also announced the removal of taxes from agricultural equipment and basic food items. But the Opposition Leader said these measures, along with others, were already implemented by the People’s National Movement.

Minister Hosein, however, clarified the Government’s plan to remove tax from processed foods.

“Let us be absolutely clear here. In the case of local produce, it should be noted that the food items that are currently only zero-rated if they are unprocessed. You understand? It is unprocessed. I don’t know if my friends opposite can understand that. But it’s unprocessed food, Mr. Speaker. We are now going to create VAT exemptions to where the food is also processed. How hard is that to understand? So you will not be paying VAT on the processed items now.”

Minister Hosein reiterated that the 2026 Budget was one that was fair, equitable, and people-centred.

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