BASSETERRE, St. Kitts – THE Ministry of Finance’s six-month tax amnesty programme has received an overwhelming response thus far, but taxpayers with outstanding payments only have two weeks remaining to get all of their interest and penalties erased.
The tax amnesty, which was set to run from April 1 until September 30, was designed specifically to lighten the burden of taxpayers in arrears while at the same time giving non-compliers the opportunity to come in accordance with the law.
Under the terms of the amnesty, persons who made satisfactory arrangements with the Inland Revenue Department to settle their negotiated arrears by September 30 would receive the benefit of a 100% waiver of their interest and penalties.
The amnesty programme covers roughly forty imposts, including Corporate Income Tax, Traders Tax, Consumption Tax on Services, Hotel Room and Restaurant Tax and Insurance Premium Tax. Other taxes on gaming machines, insurance registration, travel, property and vehicle rental would also be covered by the tax amnesty.
In a September 9 interview with SKNVibes, Deputy Supervisor for Collections Ervin Browne informed that a significant number of property and business owners readily took advantage of the tax amnesty.
He noted that although a high number of arrangements were made with the Department, taxpayers in arrears are still encouraged to take advantage of the amnesty period.
“We want to encourage those who have not yet seized the opportunity to come in and make an arrangement with the [Inland Revenue] Department. We can be helpful in other ways, just as long as they show some good faith because the amnesty is mainly to have them [taxpayers] clear their arrears,” Browne noted.
According to a press release issued by the Ministry of Finance, over 350 agreements were made between tax payers and the Inland Revenue as of September 11. Over EC$ 2.5 million in taxes, interest and penalties have been collected or arranged to be collected under the programme.
Individuals who are unable to finalize their arrangements by the September deadline are asked to contact the Inland Revenue Department, as they may still benefit from a 70% waiver of interests and penalties until December 31 of this year.
Taxpayers living abroad are encouraged to submit their requests in writing to the Inland Revenue Department in order to be considered under the amnesty programme. Alternatively, overseas-based taxpayers can authorize a representative who is residing in the Federation to act on their behalf.
