To tax is to impose a financial charge or other levy upon a taxpayer (an individual or legal entity) by a state or the functional equivalent of a state such that failure to pay is punishable by law.
Taxes are also imposed by many subnational entities. Taxes consist of direct tax or indirect tax, and may be paid in money or as its labour equivalent (often but not always unpaid labour).
Procedures
Payment
Most taxpayers in St. Vincent and the Grenadines pay their taxes when due. In fairness to those taxpayers who pay their taxes promptly, our collection policy at the Inland Revenue is to be firm with those who do not pay. Full payment of taxes should be made when returns are filed given their due dates. If no payment is made within the thirty-day period, an Arrears Notice will be sent to you. The balance stated on the Arrears Notice may also include an amount for interest, penalty or both. If after receiving a notice of assessment and an Arrears Notice, payment is not made, a final letter will be sent notifying you that garnishment (a procedure that allows us to intercept funds payable to you) or other legal action may be taken if full payment or other satisfactory arrangements to pay are not made.
Disagreement With the Amount Owing
If you disagree with, or if you do not understand the assessment or reassessment which resulted in the tax liability, you should contact the Inland Revenue Department immediately for an explanation. If you can provide some evidence that your assessment or reassessment is incorrect, the Department will make the necessary correction.
Objection and Appeals Procedures
If you are of the opinion that your assessment or determination of an assessed loss is incorrect, you have the right to object by notice in writing to the Comptroller within thirty days after the date of service of the notice of assessment or determination. Filing an objection starts an independent review of your case by the Objections Boards. The Objections Board comprises of senior officials of the Department delegated by the Comptroller to deal with objections filed with the Department. If you are not satisfied with the decision from your objection, the Department will explain to you how you could appeal to Appeal Commissioners. Such an appeal has to be made within thirty days of the service of the decision on the objection. The payment of any taxes, penalty or interest payable is not suspended by the filing of an objection or appeal. The Comptroller may, however, suspend recovery pending determination of the objection or appeal.
