WILLEMSTAD – Discontent is growing within the Curaçao Police Force after officers discovered that taxes were withheld from overtime payments that, according to MFK Member of Parliament and former Finance Minister Javier Silvania, should have qualified for an exemption under the Lei di Bion.
According to Silvania, police officers gathered at the Police Academy on Tuesday morning at 8:30 a.m. to formally express their dissatisfaction after “all overtime money went to taxes.”
The dispute centers on the application of the overtime tax exemption introduced under the Lei di Bion. The Curaçao Tax Administration states that employers may request an exemption from wage tax and social premiums for overtime, provided certain conditions are met. The exemption applies to a maximum of 520 overtime hours per year, or about 10 hours per week, for employees with an annual gross income below XCG 85,753.20.
Silvania argues that police officers earning less than Cg 7,000 per month should not have paid tax on up to 10 hours of overtime per week, provided the required exemption was properly requested and approved by the Tax Inspector.
According to the Tax Administration, employers seeking the exemption for overtime hours had until February 2, 2026, to submit their request. To qualify, the 2025 collective wage statement must also have been filed.
Silvania says the Ministry of Governance, Planning and Public Service (BPD) should have submitted the necessary information to the Tax Administration in time, including the names of eligible officers, overtime hours and salary details.
He is now questioning whether BPD submitted the request before the deadline and whether a formal decision from the Tax Inspector exists.
The former finance minister said that if the exemption was approved, BPD's salary administration should not have withheld wage tax on qualifying overtime pay.
Silvania is calling on the Minister of Finance, the Minister of Justice, BPD, police leadership and the Tax Inspector to meet immediately and resolve the matter.
He also urged officers to demand repayment of any tax that was wrongly withheld from their overtime compensation.