Our Office has paid special attention to the interpretation of the provisions of Income Tax legislation and the structuring of transactions in a most tax efficient manner.
The head of the Law Office has participated in a number of the important decisions in this area in the Commonwealth Caribbean.
On the literary level, the head of the Law Offices has written extensively on the subject culminating with the publication of the book entitled “Income Tax Law in the Commonwealth Caribbean” by Butterworths of London in early 1997. The Second Edition published in October 2013.
Cases of Interest
Sagicor General Insurance Inc v The Board of Inland Revenue
(Appeal against the decision of the BIR to refuse to consider claims for loss relief which had accidently been omitted from Corporation Tax Return after that Return had already been assessed by the BIR.)
Airports Authority of Trinidad and Tobago v The Board of Inland Revenue
(Appeal from assessments to VAT where the BIR disallowed deductions of Input Tax on the basis that the expenditure incurred by the AATT was not expended in furtherance of its commercial functions.)
Barclays Bank International v Commissioner of Inland Revenue (Guyana) 1995
(Duties of commercial banks to disclose their customers’ business)
Bata Shoe Company (Guyana) Limited v Attorney General and Commissioner of Inland Revenue (Guyana) 1975
(Constitutional issues in relation to the validity and enforceability of tax legislation)
Myerson Company Limited v Board of Inland Revenue (Trinidad and Tobago) 1986
(Scope of anti-avoidance provisions in relation to operations of multinational corporations)
Chasmin Investment Limited v Comptroller of Inland Revenue (St. Lucia) 1985
(Interpretation of anti-avoidance legislation in relation to corporate restructuring)
Annette Chin Cheong v Board of Inland Revenue (Trinidad and Tobago) 1998
(Test case involving BIR decision to treat premiums paid by employer on policy on life of employee as income of employee)
Bank of Nova Scotia v Comptroller of Inland Revenue (Grenada) 2010
(Liability to withholding tax on payments made as reimbursement to Head Office in respect of share of operating expenses).
- Decision of the Privy Council in Appeal Commissioners v Bank of Nova Scotia – Bank of Nova Scotia wins in the Privy Council dated 9th July, 2013.
- The Appeal Commissioners (Appellant) v The Bank of Nova Scotia (Respondent) - Judgment delivered by Lord Carnwath on 9th July, 2013.
Methanex Trinidad Titan Unlimited v The Board of Inland Revenue
This was a tax appeal dealing primarily with the issue of withholding tax on payment of dividends made by a subsidiary company to the ultimate parent company in Canada; the interpretation of the CARICOM double tax treaty;
Judicial treatment of International Business Company Acts and the associated tax relief. Tax appeal board ruled in favor of Board of Inland Revenue. Appeal pending before Court of Appeal.
Banks DIH Limited v The Guyana Revenue Authority
This was a tax appeal on whether it the taxpayer was liable to pay withholding tax on the fees paid for services provided by an overseas agent in the procurement of goods. Court held that no withholding tax payable on payments for services performed outside of Guyana as is the position in Trinidad and Tobago under Section 50 of the Income Tax Act.
