Attorney General’s Chambers
4th June, 2014
Clause 11 states the persons exempted from taxation under this Ordinance, such as persons in the Islands who are under employ of a foreign or Commonwealth government or an agency of such a government; and persons employing or employed for caring for, or helping to care for a person at an employer’s home in connection with a physical or mental illness or incapacity of that person. PART IV – ADMINISTRATION: REGISTRATION, RETURNS, INFORMATION AND ACCOUNTS This Part deals with the administration for purposes of tax collection and provides for registration, returns, assessments and the requirement for keeping of accounts and records required for purposes of assessments. Clause 16 provides that returns are to be made by the employer to the Authority with 14 days of the end of each month; whilst clause 17 authorises the Authority, by notice in writing to require a person to furnish it with a true and correct return. Clause 19 provides for the assessment of taxpayer; whilst clause 21 provides for the assessment in cases of default. PART V- PAYMENT OF TAX, ENFORCEMENT AND CLAIMS This Part provides how taxes are to be collected and paid to the Authority and enforcement for this process. Clause 22 provides taxes are to be deducted by employee from the employees remuneration and are to be collected from the employers. Taxes collected include taxes payable by the employer, employee and self-employed person. Penalties are provides for instances where tax is not remitted to the Authority. Clause 23 seeks to protect the employer and prohibits employers from deducting or recovering a portion of the tax payable by them from the employee’s remuneration . A penalty is imposed for contravention of this provision. Clause 24 provides for the refunds and remissions in cases of excessive tax payment or less or lack of payment, by both the taxpayer and the Authority. Clause 25 provides for penalties to be imposed in cases of default in tax payment.
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