The Revenue Department within the Ministry of Finance would like to advise the general public that the House of Assembly has approved the Hotel, Restaurant and Tourism (Taxation) (Amendment) Ordinance 2017 (hereinafter “the Ordinance”). The Ordinance which regulates the treatment of taxes on deposits for reservations for services and criteria for designation, comes into effect on 1st August, 2017.
The Ordinance amended and imposed the following provisions:
· The imposition of a duty on proprietors to keep a record of deposits received for reservations for services and also records in regards to cancellations;
· The prohibition of proprietors for collecting tax on any deposits paid;
· Where the tax was collected on reservations that were cancelled the proprietor must remit those monies to the Government;
· The creation of an offence and penalties for the collection of any tax on deposits paid and for any failure to remit such tax collected by the proprietor to the Government;
· The imposition of a duty on all restaurant owners to keep proper books and records;
· The additional of a monthly or annual turnover to the criteria for designation of a restaurant.
· The imposition of a duty on restaurant owners to permit the Permanent Secretary, Finance to inspect all books and records for the purposes of designating the restaurant for the collection of the tax.
For more information, please visit the Revenue Department in Grand Turk & Providenciales or the District Commissioner’s Offices in the family Islands.