Now here’s something that might surprise a few folks, especially if you’ve got a side hustle going. Whether you’re mowing lawns on weekends or catering events after hours, every dollar you earn needs to be declared to the Belize Tax Service. That’s right, even those extra gigs count. While your main job might handle your income tax automatically, Director General Michelle Longsworth is reminding everyone that undeclared income, no matter how small, is still a legal issue. So, are you reporting all your earnings, or are you unknowingly breaking the law?
Michelle Longsworth, Director General, Belize Tax Service
“One of the things we would also like to say is that taxes are on your total emoluments. We know in this day and age many employees work multiple jobs. And I like to use the call center as an example, many employees work at multiple call centers. It does not mean that you submit one from a call center that you think you may get a refund. Because of electronic data, we receive from all employers and when it is combined you may not be due a refund, thinking you should. It is not when it was paper based you submit from one employer to get a refund but you did not submit from the other employer because you did not want to pay your taxes. It is now real time data and it is important that people are honest, honest in submitting their total emoluments. And I can tell you we have a lot of compliant tax payers, because we have many employees who for example have a catering business, maybe they cater food after, those compliant tax payers register for business tax, because while they are paying their employee income tax that their employer take out of their salary without them even seeing it, they are compliant because they have a side business. They register for business tax and pay for what they are making on their small business. So it is not everyone, we do have a large percentage of compliant tax payers.”
Paul Lopez
“That is to say you should be paying taxes on everything you make.”
Michelle Longsworth
“Correct, on everything you make you should be paying your taxes.”
Paul Lopez
“A frivolous example, but if I go and cut a yard as a reporter and I am cutting two three yards for the weekend and I make fifty bucks a yard, I should be paying income tax on that.”
Michelle Longsworth
“You should be reporting that also.”