to other industries, Bermuda International Business Association (BIBA) companies responded yesterday that they too are concerned about the current tax structure and want it changed.

The criticism intensified with an advertisement in yesterday's newspaper that contained some revealing information comparing what one retailer pays in taxes with what an average BIBA company pays.

Information that first emerged during a recent symposium on tourism was presented in the advertisement, paid for by "a concerned group of Hamilton, St. George's, Somerset and Dockyard retailers.'' The published tax comparisons stated that the 44 BIBA member companies averaged $152,300 in annual taxes, while a local retailer paid $4,340,000, more than 28 times more.

The advertisement said: "We think this is grossly unfair because it means that our tourists and local purchasers are being asked to pick up nearly all the tax tab for both industries.'' BIBA members are local white collar firms that directly service international business. They include legal and accounting firms, management companies and banks. The comparisons appear to exclude banks from the comparison.

BIBA deputy chairman Jan Spiering said yesterday, "We are on record, and indeed have made representation in this regard to the Ministry of Finance as far back as 1994, as supporting a complete review of the Country's taxation policy.'' The managing partner of chartered accountants Ernst & Young said, "The 1994 budget contained indications that we were in danger of establishing a rather ad hoc procedure in determining how to raise the revenue necessary to run the country.

"There is obviously an inherent inequity in piecemeal taxation and we began voicing our concerns in this regard to appropriate government officials immediately following the presentation of the 1994-95 budget.'' He said Finance Minister Grant Gibbons is receptive to calls for a review of how tourism and international business industries are taxed. Further talks between BIBA and the Minister are expected on the subject.

But he also asked for other interested organisations to work with BIBA in providing suggestions to government, without making taxation a confrontational issue. He included an invitation to leading retailer and outspoken advocate for tax reform Eldon Trimingham, together with the sponsors of yesterday's advertisement.

Mr. Spiering said, "We are interested in working with any public and private sector group on this issue. As I've mentioned, we also would like to make sure that any review is undertaken using accurate figures.

"BIBA feels that, given the current desire to address challenges to Bermuda's competitiveness, there is a real willingness to come up with a long-term taxation policy.'' The advertisement stated: "We think that if the tourism industry got the big tax and duty-free break that BIBA gets, we could put tourism back in business in one season. We think this is particularly important because so very many more Bermudians depend on tourism for jobs than on BIBA.'' They argued that the tax imbalance is what makes Bermuda too expensive for tourists and they think that if they were given a "level playing field'' they could bring costs down and help attract more tourists.

NEED FOR TAX REVIEW -- says BIBA's deputy chairman Jan Spiering.

BUSINESS BUC