Funding For Implementation of JAMTAX

Tax Administration Jamaica (TAJ) and the Revenue Appeals Division (RAD) are set to commence implementation of the Jamaica Business Taxation Reform (JAMTAX) programme this year.

Forty million dollars has been earmarked for the undertaking in the 2014/15 Estimates of Expenditure, tabled in the House of Representatives on April 3.

The project aims to assist in improving the regulatory, institutional, and administrative framework for Jamaica’s business taxation process.

Envisaged activities include: reviews of the legal framework for business taxation, legislation on Small and Medium Enterprise (SME) taxation, and administrative appeals procedures, as well as customizing of the SME taxation design.

Additionally, it is intended to also build capacities for better implementation of the appeals process; improve procedures for tax payment and collection, with a pilot undertaking earmarked for a municipality to be identified; improve the business taxation communication strategy and activities; facilitate a sector profit margin analysis; provide support for the on-going legal reform process, as also the establishment of a new case profiling and workflow management system.

Several engagements are slated to be carried out by the TAJ and RAD during 2014/15.

The TAJ is expected to spearhead measures to simplify the tax process; customize the SME tax design and review the attendant taxation legislation; support improvements to the e-filing and e-payment programmes of technology-based innovation in tax administration; as well as recruit a tax consultant.

The RAD is expected to conduct a pilot of the re-engineered business process; implement a tiered appeal process; update the Standard Operating Procedures manual; develop and implement a communication plan; and conduct training for personnel.

JAMTAX, which is jointly funded by the Government of Jamaica, and the International Finance Corporation (IFC) of the World Bank, is slated to run until June 2016.