The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

THE Ministry of Finance's top official yesterday said the Government was exploring "all options" to eliminate "the rush and angst" associated with Business Licence renewals.

Marlon Johnson, the acting financial secretary, told Tribune Business that the Minnis administration had received numerous "suggestions" on how to streamline a process that requires all businesses to file their annual turnover 'certifications' by tomorrow.

Admitting that the Government was "painfully aware" of the need to rationalise its tax compliance processes via the use of technology, he said key public sector agencies were increasingly aware of the need to be "customer centric".

Speaking amid the now-annual complaints of "undue stress" being imposed on businesses and accountants to meet January 31, Mr Johnson said the Government would announce reforms "within a reasonable period of time".

"All options are being considered, as well as a number of other suggestions, to see how we can make the whole business engagement out there easier, faster and better, and that includes how we can reform the timelines around filing," the acting financial secretary told Tribune Business.

"The key ambition for us is to make the process as seamless and easy as possible, so no matter what timelines are attached to it, it happens at the click of a button because the technology exists, whether at a desk or on your mobile phone.

"We want people to interface with government agencies using the technology platforms that are readily available throughout the world."

Dr Hubert Minnis, meanwhile, used last night's national address to unveil several Business Licence-related incentives that he touted as aiding small businesses and start-up companies.

New businesses will be exempt from paying Business Licence fees this year, while the Prime Minister said existing companies with annual turnovers of $100,000 or less will also enjoy a waiver in 2018.

While many entrepreneurs and small businesses will doubtless appreciate the gesture, these incentives are likely to make little practical difference to many companies given that the maximum saving available is $500.

One source, consulted by Tribune Business, pointed out that existing businesses with an annual turnover of less than $50,000 already paid just a nominal $100 in Business Licence fees.And, given the 0.5 per cent rate for companies with turnovers up to $500,000, the maximum saving - for a $100,000 turnover business - is just $500. The source pointed out that costs associated with accountants 'certifying' their turnover figures frequently exceeded the fee paid by small businesses, and Dr Minnis said all existing businesses will still have to go through the licensing process.

Mr Johnson, meanwhile, said the Department of Inland Revenue remains "on target" to roll-out this coming Monday its 'one-stop shop' Internet portal that will allow start-ups and entrepreneurs to obtain all the permits they need for Business Licence approvals.

"We've streamlined all of that, and that starts us along the process of the Cabinet mandate to improve the ease of getting into business," he added. Mr Johnson said the Government was targeting "seven days" for persons to get into business, and would work to ultimately get that timeframe even lower.

Disclosing that some elements of this process will also aid existing companies, the acting financial secretary reiterated that "we're looking at all options" when it came to improving Business Licence renewals.

"There have been a number of suggestions put forward as to how to address it," Mr Johnson told Tribune Business. "We haven't decided any particular route yet.

"The Government has given an undertaking to look at these suggestions, and will in a reasonable period of time give an indication of how it intends to reform this whole Business Licence fee by using technology and changing the timelines so we can avoid this rush and all the angst and consternation."

He said the Government wanted to "avoid the sense of businesses going from government agency to government agency" to obtain all the permits and approvals necessary to obtain a Business Licence.

"We're painfully aware the technology exists," Mr Johnson told this newspaper, "and we need to make better use of technology and streamline the process." He added that "across the public sector", in agencies such as Town Planning, Building Control, the Department of Environmental Health Services and the police, "the senior teams are on board about making changes".

"There's appreciation of the need to become customer centric," Mr Johnson said.

Many companies, and their accountants, having again complained that they are in danger of missing the Business Licence fee 'filing' deadline of January 31 due to delays in obtaining supporting documents from other government agencies.

In particular, Tribune Business was informed there is a significant backlog in obtaining National Insurance Board (NIB) 'letters of good standing", while similar difficulties are being encountered with Environmental Health and Tax Compliance Certificates (TCCs).

While declining to go into details, Mr Johnson said yesterday: "In terms of NIB, I think that in very short order the entire business community is going to be very pleased with some of the steps NIB is taking with the business implementation team to ease issues about getting 'letters of good standing'. I imagine you're going to hear more about that."