THE Inland Revenue Department (IRD) encourages taxpayers to, Beat the Line, Save on Time, File Online. Taxpayers are advised to take this opportunity to circumvent both the cost and hassle associated with filing paper-based income tax returns and use the IRD’s tried and tested web-based digital electronic platform (E-Filing platform) which has been equipped with features to register, file and pay taxes since 2017.
The E-Filing platform caters to corporations, entities and individuals. Returns can be filed for Corporate Income Tax (CIT), Personal Income Tax (PIT), Pay-As-You-Earn (P.A.Y.E.), Contract Tax and Value Added Tax (VAT) in a secure and safe digital environment which is regularly tested by an authorised third party to ensure that it meets international security standards.
Corporations have the minor additional obligation to write to the Comptroller of Inland Revenue, indicating the name of their tax representative or consultant, who will then be authorised to file tax returns and make payments on behalf of the company. Individuals can use their smartphones or tablets which access the internet, to both get onto the E-Filing platform and file their returns as these devices have all the features necessary to accomplish the task.
The Comptroller of the Inland Revenue Department, Mrs. Marcia Vité, expects a reduction in paper–based returns during this peak season, as well as an increase in efficiency and accuracy at the IRD as taxpayers utilize the website, www.efiling.govt.lc and move to the more convenient digital platform in larger numbers. She explains the rational of the E-Filing Platform this way, “We are constantly looking for ways to improve the taxpayers’ experience and to modernize the tax filing system to keep pace with the requirements of a globally competitive environment in which the progressive development of information and communication technologies (ICT) is accelerating digital transformation in every sector.”
In the near future the IRD will launch a number of short, simple how-to videos to make it easier for first time users to get started. A campaign will be launched later in the year to encourage businesses to sign up and adopt the digital interface.