This Article deals with the filing of Tax returns and information returns, collectively called Tax Filings.
- A Taxpayer shall make a Tax Filing as required by the due date and in such manner as provided by law.
A Taxpayer shall make a Tax Filing as shall be required (generally without notification) and by the due date and in such manner as the law may provide. Taxpayers are subject to, and required to comply with, the law with respect to their Tax Filing obligations. This may require for example that Tax Filings be made electronically. The State should assist the Taxpayer in complying with their duties by providing clear instructions, forms and guides. A Taxpayer may also be required to make a Tax Filing in more than one jurisdiction, requiring compliance with the laws of all jurisdictions involved. This is a fundamental Taxpayer responsibility.
- In the case of self-assessment, the Taxpayer may be required to certify that the Tax Filing is true, correct and complete.
Where a Taxpayer is required to make a Tax Filing in a self-assessment, the Taxpayer is responsible for the accuracy of the Tax Filing and may be required to certify that the Tax Filing, which includes all supplementary information, is true, correct and complete. Requiring this certification is owing to a Taxpayer's responsibility to be truthful, provide information, and to exercise an appropriate degree of care and diligence in all Tax matters. Accordingly, the Taxpayer is granted the right to be presumed to be honest.
- In the case of assessment by the State, the Taxpayer may be required to certify that the information given for the purposes of assessment is true, correct and complete.
Where an assessment of Tax is provided by the State, as is typical in the case of, for example, property Tax assessment, the Taxpayer is required to provide certain information for the purposes of assessment. In this case, the Taxpayer does not certify that the Tax as calculated is true, correct and complete but may be required to certify that the information given for the purposes of assessment is true, correct and complete. The Taxpayer shall therefore be truthful in providing the information and ensure that the information provided is accurate and complete, and accordingly, will be presumed to be honest by the State.
- A Taxpayer is responsible for the correctness and completeness of a Tax Filing whether or not another person (a Tax Advisor) has been engaged to prepare the Tax Filing on the Taxpayer's behalf.
The State shall provide the right for a Taxpayer to have a qualified person act on their behalf. However where a Tax Advisor has prepared a Tax Filing or prepared information for purposes of assessment by the State, the Taxpayer is nevertheless responsible for the accuracy of the Tax Filing or the provision of information as if the Taxpayer had done so. Accordingly, a Taxpayer cannot be relieved of a penalty or other responsibility, simply because a Tax Advisor has acted on behalf of the Taxpayer. Thus a Taxpayer's responsibilities cannot be discharged simply by placing such responsibility in the hands of a Tax Advisor. Taxpayers are expected to take due care by reviewing Tax Filings and other information provided by a Tax Advisor, as if the Taxpayer had made the Tax Filing or furnished such information. However the retention by a Taxpayer of a suitably qualified Tax Advisor, and provision to that Tax Advisor of all necessary information for the purpose of the Tax Filing, would ordinarily constitute reasonable care for the purpose of determining any level of penalty applicable in the event of inaccuracy of factual material or error of law associated with the Tax Filing.
- A Taxpayer shall be required to make only one Tax Filing in each instance and to send the required information only once, unless the Tax Filing or accompanying information is amended or supplemented.
A Taxpayer shall be required to make only one Tax Filing, and to send the required information only once, unless the Tax Filing or accompanying information is amended or supplemented. Accordingly, the State is responsible for the receipt, storage and safe keeping of Tax Filings and other information, and may not call upon a Taxpayer to make a duplicate filing. Thus, the Taxpayer has a responsibility to be truthful and provide all the required information in order to allow for the efficient administration of the Tax system, and the Tax Administration has the responsibility to maintain the integrity of the system including custody of information.
- The State shall provide clear instructions, guides, forms and information to assist a Taxpayer in a Tax Filing or in providing information.
The State shall provide clear instructions, guides, forms and other information to assist a Taxpayer in the making of a Tax Filing or in providing information for the purposes of assessment. It is an important responsibility of the State to assist Taxpayers in discharging their responsibilities, and correspondingly, an important responsibility on the Taxpayer to use the information provided by the State if assistance is necessary. In drafting legislation, the State must ensure that it can comply with these requirements. For example, complex legislation which requires calculations to be done by a Taxpayer must be clearly outlined in forms and guides, so that a Taxpayer can responsibly comply with the requirements. Legislation should be drafted with these requirements in mind. Overall, assisting the Taxpayer with their duties creates a more efficient and effective Tax system, benefitting both the Taxpayer and the State.
- A Taxpayer shall use the forms provided by the State and shall make the Tax Filing in accordance with the instructions on those forms and in any accompanying guides.
Corresponding to the State's responsibility to provide information to the Taxpayer and assist the Taxpayer in complying with the law, a Taxpayer shall use the forms provided by the State and make Tax Filings in accordance with the instructions on those forms and any accompanying guides, to facilitate the processing of Tax Filings. A Taxpayer may, however, either upon request or voluntarily also submit supplementary information to explain the basis of a Tax Filing where appropriate.
- Subject to a Taxpayer's rights of appeal, a Taxpayer shall make payment of all Taxes, interest and penalties which are rightfully owing in accordance with the requirements of the legislation by the due date for payment and without protest or offset.
A Taxpayer shall make a payment of all Taxes, interest and penalties which are rightfully owing in accordance with the requirements of legislation by the due date for payment and without protest or offset. A Taxpayer should be required to pay no more than the correct amount of Tax based on Tax laws but may be required to pay Taxes in more than one jurisdiction. A Taxpayer may not, though, deduct an amount from Tax, interest or penalties which are rightfully owing, by way of offset. For example, if a Taxpayer anticipates a refund from a particular Tax Filing, and has a payment under another Tax Filing, it is not permissible for a Taxpayer to offset one against the other, unless the law provides for such an offset.
- The Tax Administration shall not apply a refund of a Taxpayer against a liability of the Taxpayer under a different statute without specific legislative provisions enabling the offset.
The Tax Administration shall not apply a refund of a Taxpayer against the liability of the Taxpayer under a different statute, unless the legislation specifically provides for such an offset. Thus the State shall maintain the integrity of the system by not arbitrarily retaining a refund of a Taxpayer because a Taxpayer owes or might owe Tax under another statute.