Tax devolution repealed as treaty signed with Lundenwic



Above: Lundenwic and Leylandiistan & Gurvata have agreed to a comprehensive bilateral agreement in a number of areas, including economic co-operation.

The Recentralisation of Tax Collection Act 2015, the shortest act of legislation in the history of the Confederation, was signed into law today, marking the end of three months of tax collection by regional authorities. The act repealed the Devolution of Financial Powers Act 2015 and re-enacted the National Treasury Act 2014. The Co-Presidents cited difficulties in funding national projects and government departments under the multiple treasuries model, as each treasury would have to make a proportional contribution to each item of government spending, which would delay significantly any spending. The local decision making on how proceeds of the National Contribution Charge would be spent, which was supposed to arise from devolving taxation, did not in fact occur. Lastly, the ratification and balancing out of multiple regional and national budgets within the National Budget in May 2016 was predicted to cause mayhem and delay the publication of the National Budget significantly.

The government has reverted back to the one budget, one treasury model, which it said makes the spending of government funds much smoother, and reduces significantly unnecessary bureaucracy. Co-President Ó Cathail said: “No harm has been done by this experiment in devolution. We have learned a valuable lesson by sampling two different models in taxation, centralised and devolved, in the past year. That lesson is that the centralised model is more efficient and effective in a small nation like ours.”

A treaty with the Imperial Grand Duchy of Lundenwic has been signed by both Co-Presidents. The comprehensive bilateral agreement covers a broad range of areas, including economic co-operation, diplomatic arrangements and conflict resolution. The Co-Presidents described it as “the most significant treaty signed yet” with another nation. Lundenwic will likely be one of the first nations to receive seeds from the Confederation as the first exports leave Orchardstown and Eastrip over the course of the next month.

In other news, Co-President Ó Cathail will visit Dooneen Cove Island, the Confederation’s only uninhabited territory, over the course of this weekend. The visit will mark one year since the annexation of the island by Leylandiistan & Gurvata. One of the duties which will have to be carried out, apart from raising the Confederation’s flag, will be to ensure the declaration of annexation is still in place on the island. Béal na Tíre will be reporting on the outcome of the trip to Dooneen Cove Island.


One thought on “Tax devolution repealed as treaty signed with Lundenwic

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s