New post sets up tax commish as 'dictator'

Tax expert Ethlyn Norton-Coke has likened the power vested in the newly created position of Commissioner General at the merged government revenue department, Tax Administration Jamaica, to that of a dictatorship.

Some of the powers, such as the right to hire and dismiss tax administration staff without the authorisation of the Public Services Commission or following staff orders in taking such action, have never before been exercised by previously appointed tax commissioners.

Unlike previous heads of the tax department, the Commissioner General has the authority to operate throughout Jamaica with the powers of a collector of taxes, as if he or she has been appointed as such under section 3 of the Tax Collection Act, Norton-Coke told a taxation seminar organised by the Institute of Chartered Accountants of Jamaica (ICAJ) at the Jamaica Conference in Kingston last week.

Under section 3 of the Tax Collection Act, the governor general has the power to appoint a collector of taxes for each parish and as many assistants to each collector as may be necessary.

However, the amendments to the Revenue Administration Act 2011 has centralised power in the Commissioner General and as such has created a virtual dictatorship, said Norton-Coke, chair of the ICAJ Taxation Committee and Legal Compliance Officer, University of Technology, Jamaica.

After reviewing the continuous changing power of the taxation commissioners since the Revenue Administration Act came into effect in 1985, Norton-Coke quipped, "Let us hope that the dictator is benevolent and not a reversion to feudal times."

deputy Commissioners General

The new law also provides for the appointment of three deputy Commissioners General, one each in charge of management services, operations and legal support, and such and so many officers as may be necessary for the efficient operation of Tax Administration Jamaica.

Tax Administration Jamaica is the new department created by the merger of Inland Revenue Department, Taxpayer Audit and Assessment Department, and the Tax Administration Services Department as part of the Government's thrust to boost tax collection.

In addition, the Customs Department has been separated from tax administration and will become an executive agency, while the Taxpayer Appeals Department will become the Revenue Appeal Division under the Ministry of Finance and the Public Service.

Under the Act, the Commissioner General, a position currently held by Viralee Latibeaudiere, former Director General of Tax Administration, is responsible for the general direction, supervision and administration of Tax Administration Jamaica and such other functions assigned by the Act.

The Commissioner General shall have the power to advise the minister of finance on matters relating to revenue, and serve as principal adviser to the financial secretary in matters concerning the administration of the relevant laws relating to revenue.

Such an individual also has the power to make recommendations to the minister concerning proposals for legislation, administer all tax laws other than those relating to customs duties and undertake all planning, research and public relations activities of Tax Administration Jamaica.

He or she also supervises the staff of the department and carry out audit, assessment and collection operations, as well as legal and management services.

Commissioner General

The Commissioner General functions as a collector of taxes, and any person authorised as his or her assistant is regarded as assistant collector.

He or she may delegate, in writing, the exercise of any function conferred on him or her under the Act to such other person or persons as he or she thinks fit.

Each Deputy Commissioner General may, under the direction and supervision of the Commissioner General, perform all the functions conferred upon the Commissioner General other than the power of delegation.

Under the Act, the Deputy Commissioner General - Management Services, coordinates the operations of tax administration relating to administration, human resource management, finance and accounts, information technology, training, property and procurement services, and records management.

The Deputy Commissioner General - Operations, directs, monitors and coordinates the areas of taxpayer services and registration, taxpayer accounting, tax collection, enforcement of tax laws, and audit, investigations and assessment.

And the Deputy Commissioner - Legal Support, coordinates the provision of services in relation to litigation matters, domestic tax legislation, tax treaty negotiations, international tax and trade matters, legal advice dealing with rulings, legal studies and research.

mcpherse.thompson@gleanerjm.com