Survey
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
COMPLIANCE The Jamaica Experience in Using TADAT POA 2: Good Practice in Risk Management Evaluation of effectiveness of major mitigation activities Structured multi-year approach to managing compliance risks Identification, assessment, quantification and prioritization of risks International good practices Documented compliance improvement program comprising risk mitigation activities Intelligence gathering and research builds knowledge of compliance risks Compliance risk assessments structured around taxpayer segments, tax obligations and core taxes 2 POA 2: Risk Management - 2015 C B D C Current analytical work entails, primarily, the review of tax returns and third party information from a few sources. A TAJ National Compliance Plan (NCP) for FY 2015/16 was published in June 2015; a new reporting template is yet to be rolled (will be in November, 2015). Changes in taxpayer compliance behaviour, emanating from the implementation of risk mitigation activities, are not being monitored. The evaluation is limited to administrative performance in the main obligation areas. Risk plans for 2015/16 have been prepared but it is unclear whether they are being implemented. Also a recently reconstituted risk management committee has not yet met to provide guidance. Source: TADAT Report – November 2015 3 Redesigned PLANS 4 Strategic Plan FY 2016/17 – 2018/19 TAJ Objectives • Continuously improve voluntary compliance (through enhanced customer service) Strategies • Continuous improvement in the health of key components of the system of tax administration (through strengthening compliance risk management, … Key Output • TADAT assessment performance outcome areas achieved (Compliance rates improved) Source: Excerpt from TAJ Strategic Plan 2016/17 – 2018/19 5 National Compliance Plan FY 2016/17 Compliance Areas • • • • Registration Filing Correct Reporting Payment Strategies • Service • Education • Enforcement Principal Taxes • GCT • Corporate Income Tax • Individual Income Tax • PAYE • Asset Tax • Minimum Business Tax • Withholding Taxes Source: Excerpt from TAJ NCP 2016 6 Taxpayer Segmentation Small: Sales btw J$10M & $150M Medium: (lower & upper) Sales btw J$150M & $1B Micro: Sales < J$10M Large: Sales > J$1B 7 Know Your Taxpayer 8 Revenue Administration Information System 9 ADMINISTRATIVE GAINS End-to-end case management Arrears management Management reports Automatically generate letters/notices Discovery Analytics Improved COLLECTIONS & EFFICIENCY 12 Benefits to Taxpayers Wider range of online services Consolidation of Multi-agency Services Cost/Time savings using online Tax savings from compliant behaviour Benefits to TAJ Wider range of tax administration services Consolidation of Multiagency Compliance Cost/Time savings processing online Tax earnings from compliant behaviour 13 Improved Collections against Projections FY 16/17 FY 15/16 FY 14/15 FY 13/14 FY 12/13 FY 11/12 Apr 101.1% 99.2% 99.0% 105.1% 99.9% 100.0% May 112.0% 110.1% 111.5% 105.1% 99.9% 90.8% June 114.3% 100.6% 89.2% 89.6% 101.7% 92.8% Qtr. 1 109.3% 103.1% 98.3% 99.5% 100.6% 94.0% July 100.3% 99.7% 104.6% 106.8% 98.7% 103.0% Aug 104.5% 93.3% 75.3% 77.3% 92.5% 107.6% Sep 98.5% 113.8% 92.2% 102.0% 89.8% 89.1% 100.3% 103.6% 90.4% 95.1% 93.4% 99.9% 94.1% 97.2% 96.8% 97.2% Qtr. 2 YTD 104.8% 103.3% Sources: TAJ – Revenue Accounts, MoFPS 14 Monitoring & Evaluation 15 TADAT Internal Assessment - 2016 • Internal controls are in place to monitor Key Performance Indicators • KPIs are framed in line with TADAT • Reports generated from RAiS will be used to validate KPIs • Quarterly reports submitted to IMF 16 TADAT External Assessment - 2017 • TADAT Team to be invited to conduct a second assessment • 3rd quarter of FY 2017/18 • Independent report of Performance Outcome Areas. 17 Our Vision WORLD-CLASS TAX ADMINISTRATION 18