Tax breaks for troubled companies

It boggles the mind that even after more than 2,000 tourist related businesses have closed doors, we seem fragile rather than agile in putting forth our best effort to help financially troubled companies who can’t muddle through these economic hard times. It seems too that we’ve treated their fate as inconsequential for we wanted nothing else but their tax contributions irrespective of their well-being or health.

It must be understood that productivity, which subsequently translates into profit and tax payments, is best attained with a healthy worker. In medical parlance, it’s the difference between a worker strapped in the ICU versus a healthy and gainfully employed one outside. We can’t expect anything from the ICU patient which is exactly the condition of most businesses here.

It must further be understood that we can’t sacrifice the well-being of businesses throughout these isles in our blind effort to ensure that revenue collection stays its current course. Business is simply very bad in every sector and as much as they struggle (on their own) to make ends meet, profit is either marginal or most of the 2,000 plus businesses who have closed shop would still be humming well into the mañana of Marianas Night.

To help businesses in their initiative to stay afloat, a collective effort must be taken immediately by all key players to untangle all strangling laws and regulations that inhibit and stifle wealth and jobs creation. Fees that have piled up more than their share of hefty costs of doing business here must also be repealed forthwith. If granting tax breaks is the answer, then let us swallow our warpedly hopeful expectations and grant them accordingly. Either that or they’re history!

May we reiterate: The public sector isn’t in the business of making profits. It simply juggles and disposes taxes paid by every citizen, resident and the private sector according to its view of needs. If we wish to sustain and save the balance of the local economy, then it behooves us to converge sooner than later to map-out a joint effort to ensure that we don’t hear of “another one bites the dust!” If the private sector continues to crumble, so would revenue collection. Therefore, it pays to immediately review where this ship is headed to and we hope it isn’t destined for a bout against the reef of bankruptcy. Si Yuus Maase`!