Editor,Good move and it makes sense indeed to offer any help available to SMEs. Can someone, however, educate me as I am not very familiar with the local tax system. Would a loss making business still have to pay this blanket tax?Didace, UK**********************************************Companies generally do not pay taxes when they do incur losses. Since this is a tax on profit and not a flat tax, the law applies (i.e. losses are never taxed). Businesses, on the other hand, are permitted to carryover their losses for three years. In other words, government also shares in your losses. Hope this helps.

Sulaiman Amootie, Gasabo(Reaction to the story, ‘Tax cuts for businesses’, The New Times, October 1)