It's Belize's biggest credit union, boasting fifty thousand members and assets of nearly $250 million, so why isn't Holy Redeemer paying trade license tax? That's what City Hall wants to know. The council assessed HRCU for $40,000 in trade license fees owed, that's $13,000 plus per year for three years.
But shortly after the assessment was sent to Hyde's Lane, a statutory instrument was signed into law by Minister Jose Coye. S.I. 110 exempts HRCU and all credit unions from trade license tax. That was November the sixth and today the council sent an angry release, calling it special interest legislation. Today, Alfonso Noble asked the city's special advisor Dale Trujeque why city hall is so intent on taxing what should be the poor man and woman's bank.
Alfonso Noble,
By and large these credit unions are small people's banks and man let's be real we need to give these people some leeway, you all are being hard and fast on an institution that serves thousands of people.
Dale Trujeque, Belize City Council
"Two response to that. The person who drafted the original legislation, I am sure in their great legal wisdom, knew that. Second, they are in business and as soon as your business starts accruing certain sums of money, whether it is small or large, you have to pay. The little Belizean who owns a mom and pop shop gets assessed for trade license, he could say his business is smaller than the credit union business. So if you make that argument Alfonso I think you would have to apply to all these small businesses.
It then becomes a question of where is the fine line; where do you draw the line where you don't assess somebody for the fee and you assess them. They operate as a, it is a collected body, that makes the profit, they are in the business of making a profit and investing the money to make more profit. As a group they make far more money than your small businesses, your mom and pop store."
CITCO still hopes to get the tax by insisting that it was payable before the law was passed. Because of their special status, credit unions are exempt from a number of taxes, with the exception of property tax.
