RGD - Failure to pay over monies to TAJ in the amount of $14 million dollars

Auditor General's Findings

The Auditor General’s Department’s 2019-2020 Annual Report indicated that the “RGD was not faithfully paying over to the Tax Administration Department and the Accountant General’s Department statutory deductions, and net surplus on operations. RGD’s records disclosed that the Agency owes the Consolidated Fund and Tax Administration of Jamaica (TAJ) $102.27 million for protracted periods spanning more than five years. This amount comprises $14.09 million in unpaid PAYE deductions and $88.18 million representing unremitted surplus for period 2015 to 2017.” The Report also spoke to a payment plan which was not being consistently fulfilled.

Permanent Secretary (current): Audrey Sewell

Breach Category: Governance

Permanent Secretary (at breach): Audrey Sewell

Breach Type: Inadequate Resource Allocation/Utilization

Status: Full Compliance

Last Assessed: December 9, 2022

Year Reported: 2020

Year Resolved: 2021

JAMP Update

Jamaica Accountability Meter Portal (JAMP) requested documentation in December 2021 to substantiate the total amounts that have been paid up as part of the payment plan, and the amounts outstanding.

Response received from entity:

Amount of $14.09m in unpaid PAYE deductions: This amount was fully paid at the time of this request. Monthly payments of $2m resumed in January 2021 and continued to July 2021, when the liability was completely liquidated. This was in keeping with the referenced payment plan (verbally agreed) between the RGD and Tax Administration of Jamaica, to make a payment of $2m monthly.

$88.18 million representing unremitted surplus for period 2015 to 2017: At the time of this request, $86.09m is owed to the Accountant General’s Department for unremitted surpluses. This amount is for the periods 2012/13, 2014/15, 2015/16 and 2016/17. It is however noteworthy that payments of $13.66m were made in 2021/2022 to satisfy recorded surpluses for 2019/20 and $3.24m in 2020/2021 for cashier overages and uncollected deposits for
2010/11 to 2013/14.