Dear Editor,
Please, allow us some space in your well-read newspaper to share our historical view on why the island territory of St. Maarten finds itself financially as badly off as is currently the case.
Taxes form an infringement on a person's right to enjoy his property and earnings. Taxes are also a needed evil to finance the collective sector and more. In the democratic society that we live in, taxes are only possible because the levying of taxes was sanctioned by a majority in parliament. For quite some time this legal aspect of the taxes was the main factor. Lately things have begun to change. The principles of good governance, the principle of equality, the principle of fairness and the principle of trustworthiness have all gained in importance. This importance can be gauged through the abandoning of the "might is right principle."
What is the founding philosophy for Country St. Maarten? Is it a libertarian (as less government as possible), a utilitarian (an approach to life in which happiness and pleasure are of the ultimate importance) or one of a welfare state?
The present legislation is Dutch and the Dutch have said that the legislation will always be Dutch. The Dutch have a welfare state and their tax system is geared towards such a society. The society in the Netherlands Antilles and St. Maarten in particular is not one in which care is well-rooted in the way we do things. The budgetary allotments are never sufficient. We often see that the care that is given is often done by private persons. In other instances we see NGOs being formed to meet a particular need.
The Antilles have gone from being a colony of the Dutch to being locked down in an institutional structure called the "Kingdom of the Netherlands." That structure came about in 1954. In those days the Cold War was being waged. The Neurenberg trials (1945-1949) had taken place and the world was trying to come to terms with how to deal with future conflicts. The United Nations came into being.
The Netherlands, which was overrun by the German forces in World War II, had to create safe havens in the event that they were needed. Those safe havens were found in the former colonies Suriname and the Netherlands Antilles. With such a philosophy in mind, the Dutch had no intention to see the former colonies develop into anything but safe havens for the Dutch.
The Indonesian debacle was also fresh in the minds of the Dutch. The armed and diplomatic struggle ended in December 1949, when due to international pressure, the Dutch formally recognized Indonesia as a sovereign state.
An opportunity to rescind this policy was lost when the Dutch introduced their new collection law "Invorderingswet 1990" on June 1, 1990, replacing the old one "Invorderingswet 1845," which had come into being on May 22, 1845. It could have been equally applicable throughout the Kingdom of the Netherlands.
The old one on which St. Maarten based its Collection Ordinance was allowed to continue to be functional for the Netherlands Antilles, thus creating financial dependence on the Dutch. The Netherlands was and is responsible for the security of the Netherlands Antilles, but most likely only looked at the security from a military point of view. No one even considered the capital flight as a serious offense.
The Dutch made sure it didn't happen in Holland, but couldn't care what went on in the Antilles. In the 90s many technical assistants stayed here and they realized that there was gold on the streets in St. Maarten. They started their business as tax consultants and have been extremely successful, because they were trained in the old system and knew its shortcomings.
The politicians didn't care, because they have always been taken care of and there was much to go around. The people of St. Maarten got the short end of the stick; today we hardly have any infrastructure to support our quest for separate status. Years ago when this issue was brought up, it was swept under the rug, which is only being removed today.
Had that road been travelled, there would be more compliance in St. Maarten today. Businesses would not have all their assets in offshore companies.
Does the Receiver have jurisdiction in Anguilla, the French side or even Nevis? A model should be developed to calculate what the people of St. Maarten have lost over those years (the last 19 years) through the Dutch attitude and the underperformance of the politicians. The Dutch even went further by destroying our offshore business through the enactment of the New Fiscal Framework.
Taking care of our debts up to December 31, 2005, looks good on paper, but it is merely peanuts compared to what such a model would indicate that Holland should pay. At present the constitutional process is beyond the point of return, but it is still good to let the Dutch know and our people should realize that we got a few grapes, not the crates we have rights to.
The pending constitutional change will bring with it change in management. This change will remain just a thought if the leaders and all stakeholders cannot accept their shortcomings. Praying and discussing our shortcomings can lead to insights which will help bring about transformation. Compliance, integrity and transformation are the aspects of the future. They will help build the fabric of Country St. Maarten.
Dealings with the public will have to be governed by the rules of engagement that suit a client/facilitator relationship. This means respect, trust, the exchange of information, etc to avoid repeats in the future. The civil servant should be able to coach or counsel the person seeking help to the next level on which John Public feels respected, appreciated and understood. Wouldn't this be compliance?
This entails a change in approach. Rumours are not allowed to play any role in such an exchange, but rather the facts. It is not the civil servants' task to pass judgment, but to create an environment in which he/she gets the job done. Having the law on your side is excellent, but showing and dealing in a humane manner builds trust, respect and understanding. Politics should not be a part of this. Trust, respect and understanding enriches, it shows maturing and growth in process.
John A. Richardson
on behalf of the Pythagoras group
