PLP backbencher Delaey Robinson has floated the idea of income tax being on the Government's agenda in the next election.

Mr. Robinson was speaking in the House of Assembly on Friday during debate on the Payroll Tax Rates (Special Provisions) Act 2001, which would see retailers, restaurants and small business given temporary reductions on the levels of payroll tax remitted to Government.

Mr. Robinson said: "The sad truth about taking the reigns of Government, one can only deal with the cards dealt."

Mr. Robinson said the PLP was having to work within the tax structure instituted by the former UBP government - and called the payroll tax the closest thing Bermuda has to income tax.

He said that income tax was something that has been on the PLP agenda for many years because it is an equitable tax.

But, Mr. Robinson added that "boogey man tactics" scared the general public, and kept the PLP from introducing income tax in its first term.

Speaking of the debate from the Opposition, Mr. Robinson said: "What we are talking about is trying to ensure that there is not too much tax burden dealt to Front Street.''

And Mr. Robinson said there was now the expectation "out there", that Government would deliver greater services than it had under the previous administration.

Mr. Robinson called the Opposition's urging for tax breaks - in the face of the current economic crisis - irresponsible.

He said: "There should be no fear that there will be income tax in this term but it makes it very difficult for the Minister to give back. We have a low tax burden - in the 20 percent range - compared to other countries. And to say that should be reduced is frivolous and irresponsible. But, to redistrubute the tax burden, that may be a better thing to do.''

And Mr. Robinson challenged the perception that Government had broken its platform promise of no new taxes: "We have not introduced new taxes, we have made increases on existing taxes," he said.

But Opposition MP attacked Mr. Robinson's comments as "wordsmithing," with the PLP promising no new taxes, but had then put in place significant increases.

Mr. Marshall said: "The PLP was elected because of the words no income tax. But let him put it on the next platform, and let the electorate speak."