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A goods and services tax (GST) will be introduced in Jersey next month, the island's top politician has said.
Senator Len Norman's proposal to delay the introduction of the 3% tax until 2009 was defeated in the States.
Mr Norman argued the States was in a healthy financial position and could afford to delay the tax.
But Chief Minister Frank Walker said it would be a grave mistake. The tax, which includes food and clothing, will come into force on 6 May.
GST is being introduced to cover the financial shortfall from a new zero-rate corporation tax.
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