Income Tax (Amendment) (No 2) Act 2000

Link to law: http://laws.gov.ag/acts/2000/a2000-16.pdf

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No. 16 of 2000. The Income Tax (Amendment) 1 ANTIGUA
(No. 2) Act, 2000 AND

BARBUDA

[ L.S. ]
I Assent,

James B. Carlisle,
Governor-General.

29th November, 2000.

ANTIGUA AND BARBUDA

No. 16 of 2000

AN ACT to amend the Income Tax Act, Cap. 212.

[ 30th November, 2000 1

ENACTED by the Parliament of Antigua and Barbuda as fol-
lows:

1. This Act may be cited as the Income ']Tax (Amendment) Short title.
(No. 2) Act, 2000.

2. Section 2 of the Income Tax Act, in this Act referred to as Amendment of
the principal Act, is amended by inserting in the appropriate Cap.

alphabetical order the following definitions: 212.

" "business" includes, every industry, manufacture, trade,
rendering of services, commerce or engagement in any
economic activity whatsoever in Antigua and Barbuda;

"gross income" means

(a) receipts, cash or assets of the taxpayer for
services or products derived from trade, busi-

ANTIGUA 2 The Income Tax (Amendment) No. 16 of 2000.
AND (No. 2) Act, 2000

BARBUDA

ness, commerce sales or professional services
including rental fees and other involvements
without any deduction on account of the cost
of the property sold, cost of materials used,
labour costs, royalties, taxes, interest on ac-
count paid and any other expenses whatso-
ever; and

(bj in relation to commission agents, estate agents
and others paying disbursed amounts on be-
half of their clients, that portion of which is
received that belongs to the agent and not the
portion that belongs to the client;

"individual" includes a trust, and the estate of a deceased
person."

Amendment of 3. Section 5 of the principal Act is amended as follows -
section 5.

(a) by the insertion after subsection (1) paragraph (h)
of the following -

"(i) the gross annual income of an unincor-
porated body or an individual carrying
on a business, trade, profession, voca-
tion or calling."

(b) by the repeal of subsection (2) and the substitution
of the following --

"(2) This Act applies to -

(a) the income which accrues on or af-
ter the 1st day of January, 1977 to
any company incorporated, regis-
tered or continued the Companies
Act 1995;

(b) to the income which accrues on or
after the 1st day of December, 2000
to any unincorporated body or indi-
vidual carrying on any business,
trade, profession, vocation or calling
in Antigua and Barbuda.

No. 16 of 2000. The Income Tax (Amendment) 3 ANTIGUA
(No. 2) Act, 2000 AND

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(c) to the income which accrues on or
after the 1st day of January, 1995 to
the holder of a permanent resident
certificate under the Immigration
and Passport Act.

(3) Subject to subsection (2), this Act does not ap-
ply to income received by an individual in his capac-
ity as an employed person.

4. Section 6 of the principal Act is amended by the repeal of Amendment of
subsection (1) and the substitution of the following - section 6.

"(1) Subject to the provisions of this Act, tax shall
be charged, levied, collected and paid nlonthly."

5. Section 1 1 (h) of the principal Act is repealed. P. nendment of
sr -tlon I 1 (h)

6. Section 32 of the principal Act is repealed and the follow- Rzpeal and re-en-
ing substituted - a tment of section

32.

"32. The tax upon the chargeable income of a com-
pany incorporated, registered or continued under the
Companies Act, 1995, shall be charged at the rate of forty
per centum (40%) on every dollar of the chargeable in-
come."

7. The principal Act is amended by the insertion after sec- Insertion of section
tion 32 of the following - 32A

"32A. (1) The tax chargeable upon the chargeable in-
come of any incorporated body or individual to whom
section 5(2)(b) applies, shall be charged at the rate of two
cents monthly on every dollar of the gross income of the
unincorporated body or individual carrying on any busi-
ness in Antigua and Barbuda;

Provided that the first four thousand, one hundred
and sixty-six dollars of the gross income in any calen-
dar month is exempt; and

Provided further that the provisions of sections 10,
12(5), 14 , 15 and 18 shall not apply in ascertaining
thechargeable income under this section. -

ANTIGUA 4 The Income Tux (Amendment) No. 16 of 2000.
AND (No. 2) Act, 2000

BARBUDA

(2) For the purposes of reporting income and remit-
ting the tax due under subsection (I), income is deemed
to be reported within thirty days of the date on which the
goods or services were provided to the recipient or pay-
ment was ma& ar an irlvoice issued in respect of that
supply, whichever occurs first and in the case of credit
sales income is deemed to be reported within ninety days
of the date on which the credit was given.

(3) The Minister may, by Regulation, provide for the
granting of relief to a taxpayer> in respect of bad debt.

Amendment of
section 46A.

Amendment of
section 49A.

8. Section 46A of the principal Act is amended as follows -

(a) by deleting 32(1) and substituting the following -

(b) by inserting after Antigua and Barbuda in the sec-
ond place it occurs the following:

"who shall render the return on the
individual's behalf, and any return so ren-
dered shall be binding on that person as if ren-
dered by him."

9. Section 49A of the principal Act is amended as follows:

(a) by deletion of all the words begining with "finan-
cial statement" and ending with the words "details
of" and the substitution of the following -

"an audited financial statement of the gross
annual income with the relevant Schedules
attached (in the form prescribed in items (1)
and (2) of Schedule B of the Income Tax
Rules) giving details of;"

(b) in subsection (2) (a) by the deletion of all the
words beginning with "financial statement" and
ending with the word "and" and the substitution
of the following -

"a statement in the form prescribed in item
( 3 ) of Schedule B of the Income Tax Rules".

No. 16 of 2000, The Income Tax (Amendment) 5 ANTIGUA
(No. 2) Act, 2000 AND

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10. Section 56 of the principal Act is amended by deleting Amendment o f
subsection (1 a). section 56.

11. Section 62 of the principal Act is amended as follows- Amendment o f
section 62.

(a) by the repeal of subsections (2) and (3) and the substi-
tution of the following -

"(2) The collection and payment of tax
shall, notwithstanding any notice of an ob-
jection or appeal, be enforced in full.

(3) No right of an objection or appeal shall
be exercised under this Act, unless the tax-
payer has paid to the Commissioner the
amount of tax assessed and stated in the no-
tice.

(4) Notwithstanding subsections (2) and
(3) the Commissioner may if satisfied that the
taxpayer has no means of paying the assessed
tax prior to the objection to the Board, he may
require the Board to hear and decide on the
objection if the Board considers that there is
merit in the objection.

(5) All objections notified to the Board
shall be heard and decided within sixty days.

(6) If the Board decides that the appellant
is over charged, die Commissioner shall re-
fund the excess plus interest at the rate of five
per centum to the appellant within fourteen
days of the making of the decision."

(b) by the renumbering of subsection (4) as subsection (6). RC-enactment o f
section 63.

12. Section 63 of the principal Act is repealed and the fol-
lowing inserted -

(1) Notwithstanding any other provisions of this Act
or any rule made thereunder the provisions of this section
shall apply to the collection of tax from any company
and from any individual carrying on on h s own behalf or

ANTIGUA 6 The Income Tax (Amendment)
AND (No. 2) Act, 2000

BARBUDA

No. 16 of 2000.

exercising any trade, business, profession or vocation either
solely or in partnership.

(2) Where any company has been assessed in any year
of assessment and the amount of such tax has been fi-
nally determined then, for the purposes of this section,
that year of assessment shall be regarded as "the standard
year" and that amount as "the standard amount".

(3) Where no tax has been assessed for any year of
assessment the Commissioner shall, determine the stan-
dard amount for the purposes of complying with this sec-
tion.

(4) Not later than the thirty-first day of March in any
year of assessment, or at such other time in that year as
may by this section be provided, the Commissioner may
by notice in writing to any person to whom this section
applies require such person to pay an amount equal to the
standard amount, as computed for the latest standard year,
in twelve equal monthly installments commencing dur-
ing the month of April in the year of assessment in which
such notice as aforesaid is issued and terminating during
the month of March in the year (in this section referred to
as "the relevant year") of assessment next following.

(5) Where any company to whom this section applies
is assessed to tax for any year of assessment which is a
relevant year, the Commissioner shall allow as a credit
against the tax due under that assessment the aggregate
amount of the installments paid in respect of such relevant
year by virtue of the foregoing subsection and where on
making such allowance it is found that an excess of tax
has been paid such excess shall be rehnded or credited as
appropriate.

(6) In computing the monthly installments of the stan-
dard amount payable as provided by subsection (3) any
fractional part of a dollar shall be ignored and further-
more where such standard amount is less than one hun-
dred and twenty dollars the provisions of this section shall
not apply.

No. 16 of 2000. The Income Tax (Amendment) 7 ANTIGUA
(No. 2) Act, 2000 AND

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(7) In any case in which the standard amount cannot be
ascertained owing to the fact that the assessment for the
standard year has not been finalized or for any other rea-
son or where no tax was payable for the standard year the
Commissioner, acting in his discretion, shall determine
the standard amount for the purposes of this section hav-
ing due regard to the circumstances of the case.

(8) Where in any case the standard amount has been
determined in accordance with subsection ( 6 ) and sub-
sequent to such determination the Commissioner is sat-
isfied that the determination is excessive or insufficient
he may re-determine the standard amount and on such
re-determination shall issue a notice stating the stan-
dard amount as amended and the monthly installments
payable in consequence of that re-determination, pro-
vided that such notice shall not come into effect until
the month immediately following the month in which
it was issued and provided furthermore that such no-
tice shall not be issued later than the thirty-first day of
December in the year immediately preceding the rel-
evant year.

(9) Any notice which is to be issued in accordance with
the provisions of this section may be served on a person
either personally or posted to his last known business or
private address and in relation to such service the provi-
sions of section 5 1 shall apply.

(10) Where any person to whom a notice is issued un-
der this section fails to pay during any month the instal-
ment due for that month and such default continues
throughout the following month there shall be added to
that installment a penalty of twenty per centum of the
amount due and interest of one per centum per month or
part of a month and such penalty and interest shall there-
after be deemed to be part of that installment and the total
amount shall be recoverable as unpaid tax as provided un-
der the Act.

13. (1) The Business Tax Act shall not apply to income ac- The Business Tax
crued or earned on or after the 1st day of December, 2000. A C ~ Cap. 65.

ANTIGUA 8 The Income Tax (Amendment) No. 16 of 2000.
AND (No. 2) Act, 2000

BARBUDA

(2) Notwithstanding subsection (1) any tax which remains unpaid under the
Business Tax Act before the 1st day of December, 2000 shall be recoverable by
the Commissioner as a debt under this Act.

Passed the House of Representatives Passed the Senate this 20th day
this 26th day of October, 2000. of November, 2000.

B. Harris,
Speaker.

M. Percival,
President.

S. Walker, S. Walker,
Clerk to the House of Representatives. Clerk to the Senate.

Printed at the Government Printing Office, Antigua and Barbuda,
by Donovan Southwell, Government Printer

- By Authority, 2000.
800-1 1 .OO [ Price $3 65 ]