Was the Tax Clearance Certificate Brouhaha Necessary?

The brouhaha surrounding the requirement by the Barbados Revenue Authority (BRA) to request a tax clearance certificate as part of closing a property transaction seems to have gone the way of the day 7-day news cycle. The issue was brought to a head when the Barbados Bankers Association flexed its not too considerable influence by taking a decision to suspend the processing of ALL loans involving the transfer of property. It should be noted that three of the banks in Barbados are Canada based and the other two Trinidad.

The decision by the Barbados Bankers Association triggered a torrent of of public commentary. The government spokes-persons led by Minister of Finance Chris Sinckler took careful aim at those critical of the decision to amend the Barbados Revenue Act. To quote Sinckler, “It is rather unfortunate that some banks and some lawyers in Barbados are hell-bent on frustrating government’s legitimate attempts to collect the tax revenue that is due to the state by their clients”. The Barbados Labour Party (BLP) shared the view that “the Act would cause total and complete chaos in the lives of citizens and businesses conducting ordinarily routine transaction”. The Barbados Bankers Association to support its decision indicated that there was “a lack of clarity on the process that are required in order to comply with the Act. As such commercial banks have been experiencing significant delays in disbursement of mortgages and other credit facilities that require security over real estate…”.

Of interest to BU is the position taken by the Barbados Bar Association (BBA).

All issues debated in Barbados these days are expected to take a predictable turn and with a general election on the horizon the political rhetoric has been cranking up. It is one of the peeves of the BU household that a society which claims to be well educated is always inclined to distil issues through a political lense. Maybe we are not that educated after all.

The Barbados Bar Association was very clear in its review of the amendment to the BRA Act i.e. that the requirement to seek a tax clearance certificate labels debts owned to the government as first charge on land. The uncertainty comes whether the amendment addresses the potential for challenge as it relates to the transfer of land. The general public is not expected to appreciate that there are four Acts affecting this issue; Excise Tax, Income Tax, Land Tax and VAT Act. The BBA’s opinion is that only taxes due under the Land Tax Act suit the definition of a first charge on land. According to lawyers trained in contract law the other three Tax Acts do not list a similar provision.

The objective of this blog is not to blind readers with the technical. It is to ask why did this matter have to become contentious.

Those of us who listened to the the 2017 Financial Statement and Budgetary Proposals delivered by Minister Chris Sinckler would have had to listen carefully to hear when he mumbled that representatives of the BRA and Bankers Association met and agreed changes will be made to allay the concerns of the bankers. The BU household has been patient to wait for details coming out of the meeting.

The public deserves to be told why this matter was allowed to become contentious. Why did commercial banks take the decision to suspend property transactions totalling over two hundred million dollars and as a consequence cause emotional and financial stress on Barbadians. Was the draft amendment to the BRA Act widely circulated before being proclaimed? What is the role of the media to inform an ignorant public.

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39 Comments on “Was the Tax Clearance Certificate Brouhaha Necessary?”

  1. de pedantic Dribbler June 17, 2017 at 1:12 PM #

    @David thanks for bringing this issue back to the forefront. Your remarks completely clarified the issue of contention for me viz: “The general public is not expected to appreciate that there are four Acts affecting this issue; Excise Tax, Income Tax, Land Tax and VAT Act. The BBA’s opinion is that only taxes due under the Land Tax Act suit the definition of a first charge on land. According to lawyers trained in contract law the other three Tax Acts do not list a similar provision.”

    I was certainly part of that public that did not appreciate the comprehensiveness of all the tax Acts called into question regarding that vaunted tax clearance certificate.

    Like

  2. Carson C. Cadogan June 17, 2017 at 2:26 PM #

    “”to listen carefully to hear when he mumbled that representatives of the BRA and Bankers Association “”

    Speak the truth for a change.

    He clearly made the statement for all to hear. That put an end to a challenge which was engineered by the Barbados Labour Party. I was wondering why DAVID had nothing to say about it after that.

    Everything you all do is falling flat on its face. But you still not giving up. This makes now almost 10 years of misinformation from Barbados Underground.

    Yet the Blog owner plods on hoping that some of the mud which he is throwing will somehow stick.

    Like

  3. Vincent Haynes June 17, 2017 at 3:26 PM #

    David

    The BU household has been patient to wait for details coming out of the meeting.
    ……………………………………………………………………………………………………………………………..

    This is the crux of the matter…..when will we hear or has it been mumbled again at an even lower decibel?

    Like

  4. David June 17, 2017 at 3:29 PM #

    @Vincent

    This should be the role of an active media.

    You could try asking Senator John but we know the Senate is a toothless entity.

    Like

  5. David June 17, 2017 at 3:34 PM #

    @Dee Word

    The BU household tries to stay focused on what we call pillar issues and avoid being sucked into the vortex of rhetoric masterminded by the political directorate who has to respond to the beck and call of the money class that direct them.

    Like

  6. Gabriel June 17, 2017 at 3:42 PM #

    Just a few minutes after a mistrial was declared in the Cosby case,I was able to read it on the Huffington Post,Yahoo News and the Guardian.

    Like

  7. Kevin June 17, 2017 at 4:40 PM #

    Pay your taxes, end of….

    Like

  8. David June 17, 2017 at 4:46 PM #

    @Kevin

    Is this the sum value of your comment?

    How about government listen to the Auditor General!

    Like

  9. Vincent Haynes June 17, 2017 at 4:50 PM #

    David June 17, 2017 at 3:29 PM #

    so said so done.

    Like

  10. Bajan Free Party/CUP Violet Beckles Plantation Deeds from 1926-2017 land tax bills and no Deeds,BLPand DLP Massive land Fruad and PONZ June 17, 2017 at 6:20 PM #

    Again, Barbados DLP was not the cause of the VAT, DLP was not the cause of the Massive Land fraud of the year 1997 with the VAT at issue today, The VAT was a BLP move with Owen and Mia as AG of Barbados at that time,

    As said before if the DLP was to expose what Owen and Mia have done, the DLP can Rule for the next 20 years.

    As stated the Banks are from Canada and they also need to make sure the laws of Banking and laws of the land are clear and CLEAR TITLE LANDS and “Clear Title” deeds.

    Yes let us deal with law and not fraud and coverup, The DLP have been covering up for what the BLP have done, Even David come-sing-a-song have been covering up,
    For David C, would also put in his lawsuit about the Clear Land Title Hyatt Hotel, also to see how the DBLP government came in the Possession of the land, the Last Owner of the land was1930 John Beckles who sold the Land to Beatrice Henry of Barbados. Who then Will one of over 200-300 Plantations to Violet Beckles in 1984,17 January. Probate in 1986. John” Big Black Cat” Beckles 1957Of the baby welfare league.

    The Need to apply that same law to the land where the Hyatt is to be, Did the government clear their own FRAUD?

    If Barbados had a bank and not First Caribbean/ CIBC, ran by the Mainland Fraud men in Sir Richard L Cheltenham or Sir C.O Williams 1986.all Deal ran in the same Bank control CLICO,
    To end all of the DLP need to charge Mia and Expose the DLP and its other AGs from 1997 to 2008.
    Downgrades will stop and Barbados can bloom again, for 2018.

    We are sure Property Transfer Act is also Fraud, Many people like Leroy Parris and Bizzy Williams have been moving land just by sigining a paper at land tax Department ,

    Many now know and check the tricks on the people and their history of self and land,
    the White People will not be foold by Niggers in law in Barbados any more,
    Who want clear title can check with me and My Family Reocrds,of more than 90 years of
    Clear Title History.
    The World NOW knows that the Estate of Violet Beckles is not a Jokes,But yet few will speak on BU.

    Like

  11. watchman June 17, 2017 at 6:53 PM #

    Carson C Cadogan

    Take a rest from BU ,Go, and stay with David Thompson

    Like

  12. Fractured BLP June 17, 2017 at 7:46 PM #

    Watchman

    Go and look after your slave masters property as your name so aptly states.

    What Carson has done you……other than put the truth before your eyes 👀 ?

    This is Dem country …….until Mia Mottley ( the DESPOT ) so called by her former boss Owen Arthur – who surely knows a whole lot about Mottley’s deeds – produces her LLB & LEC certification

    So leave Carson alone and help crooked Mia Mottley find her legal education – qualifications

    Hurry up …..the next elections is about MORALS……..

    Think 💭 about it ……

    Like

  13. Simple Simon June 17, 2017 at 7:52 PM #

    @David the blogmaster “The BU household has been patient to wait for details coming out of the meeting.”

    I am still waiting.

    But losing patience.

    Like

  14. Simple Simon June 17, 2017 at 7:54 PM #

    @David June 17, 2017 at 3:34 PM “the vortex of rhetoric masterminded by the political directorate who has to respond to the beck and call of the money class…”

    Ya too sweet.

    Like

  15. Simple Simon June 17, 2017 at 7:56 PM #

    @Kevin June 17, 2017 at 4:40 PM “Pay your taxes, end of…”

    Stop mis-spending our taxes, end of…

    Like

  16. Kevin June 17, 2017 at 9:22 PM #

    I would never thought that you’ll on here would be defending lawyers and other well off self-employed professionals from paying taxes. Stop clumping lawyers etc in the category of ‘poor’ people. Everyone who’s not self employed or in a partnership pays taxes. Stop throwing mud and hope that it would stick as CC is saying.

    Like

  17. watchman June 17, 2017 at 9:24 PM #

    @Fractured BLP

    EWB started the destruction of truth, to Barbadians from a DLP government , David Thompson took what seems to be the last piece of truthfulness with him, thereby leaving from the now leaders, to all you yard-fowls and cellar ducks compelled, yet confused

    Like

  18. David June 17, 2017 at 9:42 PM #

    @Kevin

    What does the issue of a tax clearance certificate have to do with lawyers singularly?

    You yardfowls.

    Like

  19. Bajan Free Party/CUP/.Violet Beckles Plantation Deeds from 1926-2017 land tax bills and no Deeds,BLPand DLP Massive land Fruad and PONZI June 17, 2017 at 11:44 PM #

    The Banks are now guarding against land fraud for they have been informed. They know if the give loans and they are bad the money will not be recovered, Dragged out in Barbados courts for 30 more years,

    Clear title is how things get done, How people get paid, no Cloud on title,

    This land is at the roots of All of Barbados problems with the DBLP government,
    Now all parties must make sure, buyers better make sure and don’t trust the lawyer’s B/S as they love you say ” to the best of my knowledge” and your money gone base on their lies

    TRSUT NONE DO YOUR OWN HOMEWORK , IF YOU CANT FIND IN PUBLIC RECORDS ITS FRAUD. THERE IS NO TITLE INSURANCE FOR LAND IN BARBADOS , BUYER BE WEAR

    Like

  20. Bajan Free Party/CUP/.Violet Beckles Plantation Deeds from 1926-2017 land tax bills and no Deeds,BLPand DLP Massive land Fruad and PONZI June 17, 2017 at 11:52 PM #

    David June 17, 2017 at 9:42 PM #

    @Kevin

    What does the issue of a tax clearance certificate have to do with lawyers singularly?

    You yardfowls.@@@

    @ Kevin don’t mind David BU, over 90% of the lawyers are crooks liars and scumbags, The brainwash the people of Barbados they they musr seek legal advice and that where most get robbed for most will not go against and other. lawyer in Barbados create more stress on people and court than solve any thing, If they know you have money , you may win your case after all your money is gone in unlimited billing pick pick aways

    Like

  21. Bajan Free Party/CUP/.Violet Beckles Plantation Deeds from 1926-2017 land tax bills and no Deeds,BLPand DLP Massive land Fruad and PONZI June 18, 2017 at 2:03 AM #

    http://jamaica-gleaner.com/gleaner/20110629/business/business71.html#.WT2X_nfx2dJ.facebook

    Like

  22. Well Well & Consequences Observing Blogger June 18, 2017 at 5:21 AM #

    Does not even need much of a comment, most of the business people and politician’s/ministers in Barbados need looking into…..especially the one with 5 million dollars in their deceased mother’s bank account..

    “Banks closing ‘risky’ accounts
    COMMERCIAL BANKS have been quietly closing accounts they deem to be risky or suspicious. Two Caribbean researchers have found that banks in Barbados, responding to increased international scrutiny, are taking pre-emptive action to secure what’s known as correspondent banking relations (CBR) with overseas institutions. Read More”

    Like

  23. Alvin Cummins June 19, 2017 at 7:41 AM #

    David, Ihave a question for you. Was the person charged with trying to remove BRA money a thief, or a courier?

    Like

  24. Vincent Haynes June 19, 2017 at 12:29 PM #

    ….
    Govt fighting to maintain status
    A CABINET MINISTER SAYS Government is working with players in the important international business sector to reduce the impact of de-risking.Donville Inniss, Minister…
    nationnews.com
    http://www.nationnews.com/nationnews/news/97897/govt-fighting-maintain-status

    Like

  25. Carson C. Cadogan June 19, 2017 at 2:55 PM #

    All it will take is one civic minded Bajan to go any Police station and request that an investigation of the Leader of the Opposition’s qualifications be carried out.

    Just as can be done for any person who is practising medicine who is suspected of not having proper medical qualifications.

    Like

  26. Carson C. Cadogan June 19, 2017 at 4:36 PM #

    THIS THING SETTLED YET?

    “”Opposition Leader Mia Mottley has been accused of deliberately undermining the chances of the Barbados Labour Party in the February 21 general election.

    This damning charge, contained in an affidavit lodged in the High Court last Friday by St. James North MP Edmund Hinkson, alleged that at a meeting held at the BLP’s Roebuck Street, St. Michael headquarters on February 25, St. Andrew MP George Payne said Mottley assisted the Democratic Labour Party in the election.

    The affidavit noted that Payne accused Mottley of “treacherous and disloyal” conduct by aiding defeated DLP candidate Irene Sandiford-Garner in her campaign against him.

    “He specifically accused Ms Mottley of putting one of her vehicles at the disposal of Irene Sandiford-Garner for use during the campaign,” Hinkson’s affidavit read.””

    BARBADOS TODAY

    June 19, 2013

    Like

  27. millertheanunnaki June 19, 2017 at 4:36 PM #

    @ Carson C. Cadogan June 19, 2017 at 2:55 PM

    And all along we thought you had the BU readers believing you were that nationalistically loyal civic minded Bajan who is so dedicated to wallowing in the DLP cesspool of lies and deceit that the activity has become a fulltime profession of ‘yard-fowlism’.

    If you were to serve your god as much as 1% as you serve your DLP masters you would be assured of living a million billion years in heaven sitting on the right hand of Jesus himself.

    Carrion, are you, by dint of perseverance, surreptitiously calling for the embarrassingly shameful removal of the AG for not being able to do his job after promising to be that eponymous civic minded Bajan duly elected member and Constitutionally-appointed gatekeeper for all things lawful and ‘legal’ in Barbados?

    It would do you an ‘island’ of good if you were to be that civic minded Bajan and not only report Mia’s fraudulent practice of law but also those people who bought votes in the last set of general elections with your AG and PM as ‘certified’ witnesses duly attested on their publicly announced affidavits.

    Why don’t you stop with your ‘Tomfoolery’ about Mia and her Godfather Barrow-granted privilege to practice law in the fast becoming banana republic?

    You are beginning to behave nauseatingly like (to use the dying horse and overweight jockey analogy often cited by your boss of comic relief) a braying jackass ridden by a grinning monkey bedecked in the Maloney’s stable livery and aimlessly running around the Garrison at night while stopping regularly to piss like a DLP lapdog against the monument dedicated to David Thompson’s father (to cite Bush Tea).

    Like

  28. Carson C. Cadogan June 19, 2017 at 4:57 PM #

    OH LORD MUH BELLY!!!!!!

    “”Hinkson’s affidavit is a response to a lawsuit for defamation brought by Payne against him on April 25. Hinkson, an attorney-at-law, also stated that Payne accused Mottley of assisting the DLP in their campaign against St. Joseph MP Dale Marshall. The document indicated Mottley vehemently denied Payne’s accusations.

    Hinkson also charged that at the meeting Payne accused Mottley of stealing party funds

    “During the meeting personal insults were traded between many of those present. The claimant [Payne], himself, accused Ms. Mottley, who is herself a long standing member of Parliament, a Queen’s Counsel, former Leader of the Opposition and the main contender for re-election as Leader of the Opposition, of criminal conduct.

    “Specifically, he alleged that she had embezzled funds from the BLP during her previous tenure as Leader of the Opposition during the period January, 2008, and October, 2010, and had used these monies for her own purposes and placed them in accounts for her own benefit,” Hinkson said.””

    Barbados today

    June 19, 2013

    Owen Arthur also made accusations of stolen money from the Leader of Opposition office which he had left there.

    And this is the person wunna want to be PM of Barbados.

    Like

  29. Carson C. Cadogan June 19, 2017 at 5:08 PM #

    …..and it goes on and on

    “” ……. “You are a crook and a criminal; you are a big Queen’s Counsel and you committed fraud; you are totally unfit to be a member of parliament; you ain’t got any right here; you should be in prison.”””

    BARBADOS TODAY

    June 19, 2013

    What an interesting article.

    Like

  30. Bush Tea June 19, 2017 at 7:53 PM #

    Carson….
    What is REALLY interesting is the FACT that whatever Mia’s faults; whatever her shortcomings; you and your DLP shiitehounds have been so pissy and repulsive that Bajans will make her – or any other alternative presented, that does not belong to the Demonic Labour Party, their leader come next elections.

    Your time and efforts would be much better spent trying to explain and justify the lotta frantic stealing being perpetrated by your brass bowl political associates….
    Ever since Mia promised to bring in the FBI /Mounties/Scotland Yard you suddenly got a second wind….
    Bushie hopes that she lock wunna to donkey up …yuh ain’t know….!!!

    Wunna can all go up to the Garrison and worship the shiite monument that wunna build up there in deference to wunna lord and master…. and featuring his black pitchfork.

    Like

  31. Carson C. Cadogan June 19, 2017 at 8:21 PM #

    BUSH TEA

    Is she going to show the FBI, CIA, SCOTLAND YARD, FSB, MOUNTIES, MOSSAD,copies of her “Legal” Qualifications?

    I am not talking about the O Level certificates.

    Like

  32. Carson C. Cadogan June 19, 2017 at 8:22 PM #

    BUSH TEA

    Bajans are not about to return to their vomit.

    Like

  33. Carson C. Cadogan June 19, 2017 at 8:30 PM #

    BUSH TEA

    You watch CBC Tv news tonight?

    The Sam Lords project is on stream. That must be giving you all heart burn.

    Like

  34. Simple Simon June 19, 2017 at 10:45 PM #

    @Carson C. Cadogan June 19, 2017 at 8:22 PM “Bajans are not about to return to their vomit.”

    You sure right. We never voting for the DLP again.

    Like

  35. Simple Simon June 19, 2017 at 10:57 PM #

    @Carson C. Cadogan June 19, 2017 at 2:55 PM “All it will take is one civic minded Bajan to go any Police station and request that an investigation of the Leader of the Opposition’s qualifications be carried out.”

    So since you are a civic minded Bajan why don’t you haul yourself to the nearest police station and ask that an investigation be carried out?

    Like

  36. Artax June 20, 2017 at 2:31 AM #

    EVERY YEAR during the DLP’s annual conferences, General Secretary George Pilgrim proudly announces that there has been a SIGNIFICANT INCREASE in Barbadians joining the party. Is this an enigma or anomaly?

    Yet, the voter turn-out in the 2013 general election was low and the DLP narrowly won by 2 seats. Carson, is this an enigma or anomaly?

    And “speaking” of DLP annual conferences, is the Sandra Forde who was ELECTED as TREASURER of the DLP during the party’s 2012 annual conference, the same Sandra Forde who currently mismanages the Transport Board?

    Like

  37. Carson C. Cadogan June 20, 2017 at 7:46 AM #

    Artax

    Now that you mention it, let me invite you and DAVID to this year’s Democratic Labour Party  62nd Annual Conference Notice.

    The date is Friday 18th, 2013 at 7.00PM. at the George St. Auditorium. It will be held over a three day period.

    Come, and you all will learn a lot.

    http://www.dlpbarbados.org/site/democratic-labour-party-62nd-annual-conference-notice/

    Like

  38. Artax June 20, 2017 at 3:45 PM #

    @ David

    After reading the “Action Plan to Reduce the Fiscal Deficit,” I was convinced the members of the “Committee of the Social Partnership to Address the Fiscal Deficit” copied and pasted from BU, because the below issues, for example, have been thoroughly debated/discussed in this forum on numerous occasions.

    • Despite Government’s efforts, the debt has reached an unsustainable level – primary expenses continue to exceed revenue after adjustments for non-recurring items; interest expense is steadily rising

    • Waning investor confidence and delays in project execution have curtailed foreign direct investment, and the persistent large deficit has reduced sovereign credit worthiness, which has restricted government’s ability to refinance external debt at attractive rates; consequently, government has repaid external debt with reserves

    • Without a boost in FX reserves, near term foreign debt repayment will deplete reserves and government will not be able to meet its medium-term foreign debt obligations

    • To accelerate economic growth, increase FX earnings and reduce FX consumption, Barbados needs to improve competitiveness and the ease of doing business – focus on labour market reform, speed of service delivery and reduction of electricity costs through acceleration of renewable energy adoption; efforts here are projected to yield the additional $150 million by 2019/20

    However, what is amazing is government sanctioned this Committee to formulate a report about the fiscal deficit, asked the private sector and special interest groups to participate in discussions and offer the necessary recommendations to be included the Budget.

    Yet I read in today’s Daily Nation newspaper that the “Minister of Finance Chris Sinckler will meet with a number of organizations over the next two days to discuss concerns relating to the recently announced budgetary proposals.”

    And these organizations include the same special interest groups government consulted with prior to the budget.

    This clearly illustrates that Sinckler et al completely rejected whatever recommendations these organizations presented, especially against the background of this inept DLP administration continually asking for “solutions.”

    Like

  39. Artax June 20, 2017 at 3:50 PM #

    Sorry Carson, but the only way I could attend your annual conference on “Friday 18, (of any month in) 2013 at 7.00PM. at the George St. Auditorium,” is if I’m either Tony Newman or Doug Phillips of “The Time Tunnel” fame.

    Like

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