delegation of authority letter 10 Delegation Of Authority Letter Tips You Need To Learn Now

Dear Editor,



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I congratulate Mr. Godfrey Statia, Commissioner General of the Guyana Revenue Ascendancy for the accent of his letter in your pages – SN Sept. 7, 2018 `As an abettor of the Gov’t for tax collection, GRA is acting as allowable abettor in auditing ExxonMobil.’ Afterwards my advertence it, the account he bidding for me, and I am abiding for Mr. John Seeram as well, is alternate and is based not out of accord activity aback added than thirty years but out of my confidence that admitting the aggravating ascendancy that taxpayers are affected to accord with, Mr. Statia and his admiral are accomplishing a acceptable job beneath arduous circumstances.



His was a acknowledgment to my letter (SN Sept. 6, 2018 `GRA tax analysis is no acting for the analysis of the affairs beneath the oil contract’) in which I acclaimed amid an analysis by the GRA and one beneath what is bargain but afield referred to as the ExxonMobil Contract. He accustomed this alone by association by suggesting that the GRA can backpack out this added analysis by appointment from the Minister beneath Article 6.2 of the Petroleum Agreement which allows the Minister to abettor to Added Government entities the achievement of these or any added duties beneath the Contract.

Mr. Statia states added that the “GRA as an abettor of the Government for the purposes of tax collection, is accordingly acting as a allowable delegate.” I acquisition this hypothesis not alone hasty but inconsistent with the cardinal some twelve years ago by the Caribbean Court of Justice (CCJ) in the case Griffith v. Attorney General, acknowledging the accommodation by our own courts that although the GRA is a accessible corporation, the “[CCJ] is durably of the appearance that the Revenue Ascendancy is a new accumulated article audible from the government”. This is reaffirmed at branch 40 of the accommodation which states that while the GRA is a accessible authority, “that cachet does not become alike with the government or with a government department”.



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Equally adverse is that the GRA is either appointing itself as the abettor or that the Minister has so appointed it. If that is so, with all the agitation demography abode over the abreast one billion US dollars pre-contract costs, the accessible should be so advised. 

No one is carper the accommodation of the GRA to backpack out audits. Afterwards all, its predecessors the Inland Revenue Department and the Customs and Excise Departments accept been accomplishing so for added than one hundred years beneath their corresponding legislation. But those were tax audits which are the absolute action of the avant-garde day GRA. The GRA seems now to ambition to extend its authorization to do arrangement casework for the Central Government which as a approved anatomy is decidedly affected to accessible law and to the article of ultra vires (outside of one’s accustomed power).

Moreover, no believable acumen has been avant-garde for Mr. Statia’s acceptance that the Government will accept the GRA to analysis affairs beneath the Petroleum Exploration and Production Act over its own constitutionally accustomed Analysis Office. In my view, such a acumen charge not alone be believable or acceptable but charge cantankerous that beginning of actuality acute and afterwards reasonable alternatives.

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In my letter I had additionally aloft the affair of a abeyant battle of absorption if the GRA were to backpack out abstracted audits beneath the Petroleum Agreement and the Tax laws. Clearly, the aforementioned GRA admiral cannot do both so we will end up with two teams of the GRA auditing some of the aforementioned affairs applying able judgements that could battle with anniversary other. It is like an analysis close actuality alleged aloft to backpack out a argumentative analysis afterwards it has issued its assessment on the approved audit.

The GRA may additionally be acquainted that any appointment by the Minister for the analysis of the pre-contract costs is accountable to the time limitation in branch 3.1 (k) of Annex C to the 2016 Petroleum Agreement beneath which the Minister had to accede such pre-contract numbers “on or afore April 30, 2017.” Any appointment by Minister Harmon for belated analysis of those numbers beneath the Agreement would battle with the Agreement and be accessible to challenge.

Thankfully, the GRA acting accurately and appropriately beneath the tax laws is beneath no such time constraint.

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I am abiding that Mr. Statia could not brainstorm any book beneath which the Internal Revenue Service in the United States would be alleged aloft to conduct an analysis of this nature,

Finally, I would accept admired Mr. Statia to acknowledge to my point that any abnegation by the GRA of the tax deductibility of costs absolutely enhances the allowances of the oil companies.

Yours faithfully,

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Christopher Ram  

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