GOB Clears the Air on Tax Reform

The Government of Belize is defending its plan to overhaul the country’s tax system, insisting that the Belize Tax Service Department is not only well-managed but thriving. But as the transition to a new Semi-Autonomous Revenue Authority moves ahead, questions remain: Why now? Who benefits most? And can the government guarantee that no public officers will be left behind? Officials say the BTSD has consistently hit, and even surpassed, its tax collection targets, earning praise both locally and internationally. GOB say that since its creation, the department has invested heavily in staff training and modern systems to improve service and efficiency. The move to a Semi-Autonomous Revenue Authority (SARA), approved by Cabinet in 2022, is part of a broader plan to modernize tax administration. The transition is backed by regional experts from CARTAC and supported by the IDB, which has already helped fund key upgrades like the IRIS Belize Portal and a new Revenue Management System. The government says the reforms are already paying off, Belize’s tax-to-GDP ratio jumped from almost nine percent in 2019 to 15.6% in 2024, all without raising tax rates. Importantly, GOB is assuring public officers that no jobs will be lost in the transition. Current BTSD staff will be offered better terms under SARA, and those who opt out will be redeployed elsewhere in the public service. The government says SARA will be more efficient, more accountable, and better equipped to serve taxpayers, all while remaining fully transparent and under the oversight of the Ministry of Finance.