1UNIVERSITY OF THE WEST INDIES CAVE HILL CAMPUS DEPARTMENT OF MANAGEMENT STUDIES FACULTY OF SOCIAL SCIENCES MGMT3052 - TAXATION

AND TAX MANAGEMENT COURSE OUTLINE SEMESTER 2, 2011 2012 Le !"#e#: Philmore Alleyne MS4 e-%&'(: philmore.alleyne@cavehill.uwi.edu COURSE O)*ECTIVES !n "he #ucce##$ul comple"ion o$ "hi# cour#e% #"uden"# would have &ecome $amiliar wi"h: 'he main #ource# o$ revenue on which "he (overnmen" depend# $or "he main"enance o$ e##en"ial #ervice#) 'he per#on# on whom "he "a* &urden $all#) 'he &a#ic rule# applied in de"erminin( o&li(a"ion# "o pay "a*) +orei(n income and in"erna"ional and re(ional "a* "rea"ie#) +undamen"al# o$ "a* plannin(. Te(: 246-417-429 R$$%:

TEXT RE+UIRED Course Manual Please use the updated version (i.e. January 2012 copy) as it utilizes up to date information pertinent to the emphasis for this semester. STUDY RE+UIREMENTS 'he cour#e involve# one "wo-hour wee,ly lec"ure and a one-hour "u"orial. 'he "u"orial# will &e mainly pro&lem #olvin( and di#cu##ion#. All #e##ion# #hould &e a""ended. -e will &e dealin(

wi"h prac"ical i##ue#. S"uden"# are in$ormed "ha" "hi# cour#e will $ocu# on everyday #i"ua"ion# and #"uden"# mu#" &e a&le "o iden"i$y &a#ic "a* plannin( poin"#. .n "hi# "erm% we will e*po#e you "o "a* i##ue# $rom /anada% 01% 0SA and "he /ari&&ean. S"uden"# will &e e*pec"ed "o communica"e "heir $indin(# and recommenda"ion# "o clien"#% a# well a# "o e*plain clearly "he more impor"an" principle# o$ "a* law. 1nowled(e o$ #ec"ion num&er# o$ "he 'a* Ac" will no" &e needed "o under#"and 2ue#"ion# in "hi# cour#e% nor will "hey &e e*pec"ed "o &e u#ed in "heir an#wer#. -e will &e u#in( e-learnin( in "hi# cour#e% and you #hould en#ure "ha" you have acce## "o "hi# $acili"y. ASSESSMENT Mid "erm: +inal 6*amina"ion: 345 745

LECTURE OUTLINE Wee,-./ T$0' .

C1&0!e#. 172 An ou"line o$ income "a*

1 .ncome "a* re"urn# 8a"e# o$ income "a* .ndependen" "a*a"ion /ollec"ion o$ income "a* Schedule# o$ income "a* Source# o$ income .ncome "a*ed a" #ource 6*emp" income

3 9ia&ili"y $or "a*a"ion

2 8e#idency:domicile .den"i$y "a*payer# Area# o$ "a*a"ion ; 'rea"ie# and .</# 4 Per#onal income "a* - 1

3 Source# o$ income Per#onal allowance# .ndependen" "a*a"ion =educ"i&le v# non-deduc"i&le e*pen#e# > Per#onal income "a* - 2

4 .ncome $rom employmen" 6mploymen" v#. #el$-employmen" 6molumen"# - ca#h and &ene$i"# in ,ind

=educ"i&ili"y o$ e*pen#e# $rom employmen" income

'he "a*a"ion o$ pro$i"# $rom "rade#% pro$e##ion# 7 voca"ion# <ad(e# o$ "rade =educ"i&le and non-deduc"i&le e*pendi"ure Accoun"in( period# v#. "a* period# /api"al allowance# on plan"% machinery% vehicle# and &uildin(# /ompu"a"ion o$ a##e##a&le pro$i"

>76

7 /orpora"ion "a* 7 proper"y income 7 =e$ini"ion o$ a company =e$ini"ion o$ corpora"ion "a* 8a"e# o$ corpora"ion "a* 'rea"men" o$ a company?# pro$i" and lo##e# /ompu"a"ion o$ corpora"ion "a* lia&ili"y

@alue Added 'a*a"ion

=e$ini"ion and &ac,(round o$ @A' 8e(i#"ra"ion Scope o$ @A' - "a*a&le "ran#ac"ion# and "a*a&le per#on#

Supplie# !u"pu" and inpu" @A' 'a* re"urn# Admini#"ra"ion - Penal"ie# 7 a##e##men"#.

9 'a* plannin( 7 'a* Mana(emen"

'a* avoida nce v#. "a* eva#io n

/ompare "a* implica"ion# o$ employmen" vi#-a-vi# #el$ employmen" /ompare al"erna"ive remunera"ion pac,a(e# $rom &o"h "he employee?# and employer?# poin" o$ view /ompare "he "a* po#i"ion o$ a direc"or:#hareholder in a company wi"h "ha" o$ a #ole "rader. 6*plain #"ra"e(ie# "ha" a company may adop" in order "o minimi#e and:or de$er i"# lia&ili"y "o corpora"ion "a*. Purcha#in( and #ellin( inve#"men"#. 6"hical and pro$e##ional re#pon#i&ili"ie#

14 Admini#"ra"io n o$ 'a*

14 8e"urn# Paymen"# A##e##men" 7 appeal# 11 /api"al (ain# "a*

11 An overview o$ "he /anadian e*perience

*&2"&#3 2012