Domestic financial services sales tax (amendement) bill 2015

Attorney General’s Chambers

13 January 2015

DOMESTIC FINANCIAL SERVICES SALES TAX (AMENDMENT) BILL 2015 ARRANGEMENT OF CLAUSES

CLAUSE

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Short title and commencement Interpretation Section 2 amended Section 4 amended Section 5 amended

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Attorney General’s Chambers

13 January 2015

TURKS AND CAICOS ISLANDS A PROPOSAL FOR A

BILL FOR AN ORDINANCE TO AMEND THE DOMESTIC FINANCIAL SERVICES SALES TAX ORDINANCE; AND FOR CONNECTED PURPOSES.

ENACTED by the Legislature of The Turks and Caicos Islands.

Short title and commencement 1. This Ordinance may be cited as the Domestic Financial Services Sales Tax (Amendment) Ordinance 2015 and shall come into operation on such day as the Governor may appoint by Notice published in the Gazette.

Interpretation 2. In this Ordinance the “principal Ordinance” means the Domestic Financial Services Sales Tax Ordinance.

Section 2 amended 3. Section 2 of the principal Ordinance is amended in the definition of “financial services sales tax” by repealing “5” and substituting “4”.

Section 4 amended 4. Section 4(1) of the principal Ordinance is amended by repealing the words “any service” and substituting the words “ the outward transfer of money, that is to say, the transfer of money from one party using any financial institution within the Islands to another party outside of the Islands.”.

Section 5 amended 5. Section 5 of the principal Ordinance is amended by repealing paragraphs (b) and (c). __________

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Attorney General’s Chambers

13 January 2015

PASSED by the House of Assembly this

day of

Tracey Parker

Robert Hall

Clerk to House of Assembly

Speaker

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2015.

Attorney General’s Chambers

13 January 2015

EXPLANATORY MEMORANDUM This Bill seeks to amend the Domestic Financial Services Sales Tax Ordinance to limit the imposition of the financial services sales tax to money transfer only.

Clause 3 of the Bill seeks to amend section 2 in the definition of financial services sales tax by correcting an incorrect cross reference.

Clause 4 of the Bill seeks to amend section 4 to limit the imposition of the financial services sales tax to outgoing money transfer only.

Clause 5 of the Bill seeks to amend section 5— (a) to repeal paragraph (b), in respect of the nonapplication of the Ordinance to persons not resident in the Islands as there cannot be a clear application of this exemption; (b) repeal paragraph (c) in respect of the nonapplication of the Ordinance to inward transfer of money as this provision is no longer necessary since the amendment to section 4(1) clearly limits the application of the Ordinance to outward transfer of money.

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