Culture of Tax Compliance Needs to be Instilled in Jamaicans – Shaw

KINGSTON — Finance Minister, Hon. Audley Shaw,  says a culture of tax compliance  has to be developed and instilled in the society,  to ensure that persons honour their statutory obligations.

Speaking at the Jamaica Chamber of Commerce's (JCC) recent Luncheon Forum at the Jamaica Pegasus Hotel, New Kingston, Mr. Shaw lamented that the current level of tax compliance continues to be "unacceptably low", and  stressed that this  needs to be  improved.   

"There are people who willfully evade taxes, including a lot of businesses in downtown Kingston, and a lot of businesses that are springing up all across Jamaica. Everybody is busy buying and selling, and writing  receipts on little pieces of paper and handing  them to people, and those receipts don't have any General Consumption Tax (GCT) on them," he pointed out.

"You cannot have a civilised economy going forward, with all of the demands that are placed upon government to find the appropriate resources for all of the critical needs, but with a whole set of people feeling that, 'taxes are not for me'. Well, I am sending a warning to everybody.

We are going to put in place a system that (will) ensure that everybody plays by the rules," he asserted.

In this regard, the Minister said the new tax administration regime being instituted will ensure that all persons eligible to pay taxes fulfill their statutory obligations. He informed that the Tax Administration Department has been re-organised, with the appointment of Viralee Latibeaudiere as Commissioner General, who "has re-organised herself and her department to become much more tactical on their work towards tax compliance."

Mr. Shaw argued that  private sector stakeholders can play a pivotal role in developing and instilling  that culture of tax compliance.

"Nobody is probably best placed than the Chamber or the Private Sector Organisation of Jamaica (PSOJ), to help us in a national campaign to drive a sense of patriotism, to drive a sense of responsibility among our stakeholders, that we must be a part of sharing the burden of taxation,"  the Minister said.

By Douglas McIntosh, JIS Reporter