Extension of payment for monthly taxes due
- Entrepreneurs or companies with a monthly gross revenue of one million Aruban Florins or less, and who have been affected by the COVID-19 outbreak, will be eligible for an extension of payment of the monthly taxes due for the periods of April, May and June 2020.
- Additionally, the entrepreneurs or companies must have economic activities relating to the tourism industry such as, casinos, bars & restaurants, tour operators, coffee lounges, security companies, beauty parlors, travel agencies, car rental companies, perfume shops, watersports, carwash, jewelry stores, fashion retail stores, laundries & dry cleaners, ground handlers, employment agencies, construction companies.
To apply for the extension of payment for monthly taxes due, entrepreneurs or companies should:
- File a request with the Tax Authorities.
- Submit a simple report/statement showing cash flow challenges.
- Comply in a timely manner with the monthly filing of the tax declaration forms pertaining to the periods April, May and June 2020.
- Comply with the payment of the taxes due pertaining to the periods April, May and June 2020 in a maximum of six installments after resuming economic activities.
- The extension of payment is only applicable for the monthly taxes due of Toeristenheffing, BBO/BAVP/BAZV, Speelvergunningsrecht, Bijzondere Belasting Verblijf (BBV) and Bijzondere Belasting op Verhuurauto’s en Verhuurmotorfietsen (BBVAM).
Filing extension of the 2019 profit tax return and 2019 profit tax due, except for financial institutions
- The due date for filing of the 2019 profit tax return and for payment of the 2019 profit tax due will be extended with six months. The filing due date for companies/entities with a fiscal year that correlates with the calendar year will be November 30, 2020. This extension is not applicable for financial institutions.
Postponement of three months of payment for existing payment arrangements
- To help taxpayers with cash flow challenges, payments of outstanding taxes based on existing payment arrangements will be postponed for three months as of the month of April 2020.
No penalties for three months for late or partial payment of taxes due
- No penalties will be imposed for a period of three months for late or partial payment of taxes due over the periods April, May and June 2020
No collection interest on amounts outstanding
- As of April 2020, no collection interest will be due for a period of three months on amounts of outstanding taxes, provided that a new payment arrangement has been concluded.
Leniency for voluntary disclosure
- Taxpayers or withholding agents who have failed to comply with their legal duty in a truthful, timely, and complete manner, may submit a request for voluntary disclosure to resolve non-compliance and limit exposure to criminal prosecution, without penalties being imposed.
- A disclosure is timely if it is received before the Tax Authorities become aware or become suspicious and a fiscal examination is commenced or information related to the specific non-compliance has been acquired directly from a criminal enforcement action by the Tax Inspector and/or other civil servant responsible for law enforcement within the Tax Authorities.
Postponement of forcible collection process
- The forcible collection process by means of (i) Seizure of salaries (wage garnishment), (ii) Seizure of bank accounts (seizure of funds) and (iii) Assets seizure, including real estate (forfeiture), will be postponed by three months starting as of April 2020. Forced collection by means of a warrant from the Tax Collector/Bailiff will continue its normal process
- Examination and tax review of an organization’s books and records will be postponed until June 2020, with the exception of cases regarding tax fraud.
Improved service by online filing platform and online payment
- Entrepreneurs and businesses have digital access to the services of the Tax Authorities through the online platform “BO impuesto” and are able to file their monthly tax declarations online, file objection letters and other specific requests.
- The use of the online platform and online payment of tax amounts due is mandatory to avoid person-to-person contact as much as possible.
Transparent/Open communication lines
- A strategy for more transparent and open lines of communication will be implemented, making use more effectively of social media channels such as Facebook, website and the DIMP-App. This to have a wider reach and provide information to taxpayers and identify non-compliant taxpayers.