FINANCIAL Secretary Everton McFarlane says the recent revision of property tax rates will not impact Government’s fiscal plans.

McFarlane was speaking at yesterday’s meeting of the Public Administration and Appropriations Committee of Parliament where Bank of Jamaica Governor Brian Wynter, and head of the Planning Institute of Jamaica also appeared to answer questions on the economic out-turn and projections for the next quarter.He said while some local government activities are financed through central government, property tax receipts go directly to the municipal corporation and therefore had no relation to the central treasury. “We took account of the impact of those reforms in the central government by reducing our budgeted subvention (to local government) by about $1.8 billion, compared to previous subvention. There will be increased revenue inflows to local government coming from the reforms, and they will be required to utilise those revenues to compensate for the reduction in subvention, but we have not changed our budgeted subvention consequent on the new rates,” he explained.The financial secretary also said increases in motor vehicle licence and fitness fees also go directly to the municipalities.Following widespread criticism and concerns raised by interest groups over the proposed new rates that ranged from 0.8 per cent to 1.3 per cent of land values, the Government dropped the rates to between 0.5 per cent and 0.9 per cent. The revised measure is expected to yield $6.5 billion instead of $8.5 billion.Finance ministry representatives are to return to Gordon House in another two weeks to continue discussions with the committee on this year’s budget, fiscal policies, the impact of the 2017/18 tax measures, and the changes in the structure and management of some public bodies.— Alphea Saunders