Personal Income Tax Return Filing Dominica : Inland Revenue Division

Name of the Organization : Inland Revenue Division
Type of Facility : Personal Income Tax Return Filing
Country : Dominica

Official Website : http://ird.gov.dm/

Personal Income Tax Return Filing

The imposition of Income Tax in Dominica is governed by the Income Tax Act, Chapter 67 :01 of the Revised Laws of Dominica 1990, generally referred to as the Income Tax Act. Administration of this Act is vested in the Comptroller of Inland Revenue.One of the many requirements of the Act is the filing of a Return of Income (Income Tax Return) on an annual basis.

Related : Inland Revenue Division Filing Vat Return Dominica : www.statusin.org/5214.html

This return is required to be furnished to the Comptroller and shall :-
** Be signed by you or an agent authorized to sign on your behalf;
** Contain a calculation of your Chargeable Income, if any disclosed;
** Contain a calculation of the tax payable; and
** Contain an address for service of notices.

Generally your Tax Return must be furnished to the Comptroller on or before March 31 following the end of the Income Year. However, where a Fiscal Year applies, the return must be furnished on or before the last day of the third month following the end of the Fiscal Year.

For example :-
Fiscal Year July to June – return due or before September 30

This guide will assist you in fulfilling your filing obligation under the Law. It will take you step by step through the process of completing your Income Tax Return.

This includes calculating your :-
** Net income;
** Allowance and deductions;
** Chargeable Income;
** Tax on Chargeable Income;
** Credits and payments; and
** Balance payable or refundable.

Personal Information :
In order to ensure compliance with the requirements of the law and to facilitate effective communication, the Inland Revenue requires some basic information about you. This includes :-
** Full name;
** Home address;
** Mailing address;
** Date of birth;
** Social Security Number;
** Nationality;
** Martial Status;
** Name of spouse;
** Telephone numbers – work, home and mobile; and
** Employers’ name, address and telephone number(s).

In most cases, the information requested above may have already been provided. You need not provide it if this applies to you. However, if you are filing for the first time or a change took place (for example you changed employer during the year), the correct and up-to-date information must be provided.

Calculating Your Net Income :
Most amounts that you earned1 last year are taxable and must be included in your net income. This includes amounts from :-
** Employment;
** Pension (excluding that from the Dominica Social Security);
** Self employment (business income);
** Rental Income;
** Commission;
** Contractual Gratuity (provided that it is not exempt under the Income Tax Act); and
** Benefits from employment (including housing, motor vehicles and utilities)

Calculating Your Allowance And Deductions :
Line 201 Allowance For Resident Individuals :
If you are a resident of Dominica, you are entitled to claim $15,000.00.

Please note that the allowance is not apportioned – you either qualify for it or you do not. In order to qualify for the resident allowance, a person has to be physically present in Dominica and one of the following conditions must be satisfied :-

The person’s permanent place of abode must be in Dominica. This means that the person must have a home, family ties or business transactions carried out in Dominica or Dominica must be the place where the person’s rights and obligations are governed as regards to marriage, taxation etc;

The person must be physically present in Dominica for one hundred and eightythree days (183) in the year of assessment;

The person must be physically present in a year which is continuous with another year that the person had been present for one hundred and eighty-three days (183) as stated above. Providing that you qualify, enter $15,000.00 on line 201.

Calculating Your Tax Payable :
This section of the guide shows you how to calculate the tax payable on your Chargeable Income. You should select only one conditions presented in the return. The total tax payable using the condition which applies to you should be entered on line 300.

Line 300 Total Tax On Chargeable Income :
The total amount payable as calculated using the applicable condition referred to above should be entered on this line.

Download Form : https://www.statusin.org/uploads/5213-PIT%20Return%20%282010%29.pdf

Calculating Your Credits And Payments :

Line 312 Divided And Double Tax Credit :
Dividend Tax Credit :
Where you included Dividend (from a resident company) in your total income and your tax payable has increased to a rate of 30% or less, the increase in tax is allowed as a taxcredit.
Where you included Dividend (from a resident company) in your total income and your tax payable has increased to a rate greater than 30%, a tax credit equal to 30% of the Dividend is allowable.

Double Tax Credit :
This credit applies in cases where income from a source outside of Dominica was declared on your return and tax was paid on the income. Where an agreement exists between Dominica and other countries, credit for tax paid shall be given in the manner as provided for in that agreement.

In most cases, the Double Tax Credit you can claim for each country is the lower of the following two amounts :-
** The foreign tax that you actually paid; and
** The local tax payable on the foreign income.

How To Claim :
** Complete the section on Double Taxation Credit on Schedule B, Part III of your return;
** Attach documentary evidence (such as official receipts) showing the foreign tax paid.

Checklist :
Once you have completed your return, you should ensure that :-
** The certificate on page 4 is completed and the return is signed;
** All statements required when claiming deductions are attached;
** Any balance payable is submitted with your return (do not mail cash);
** Cheques or Money orders should be made payable to the Comptroller of Inland Revenue;
** Your return is submitted to the Comptroller of Inland Revenue on or before March 31, or three months after the end of your fiscal year; and
** Copies of your return and all documents are made for your records.

Contact Information :
if you require further information and assistance please contact us on :-
Telephone 1 767 266 3600
Fax 1 767 448 1893
Email irddom@cwdom.dm

Or write to :-
The Comptroller of Inland Revenue
Inland Revenue Division
P.O. Box 164
Roseau