Attorneys claim Property Tax Act unconstitutional

They say the notices being sent out by the commissioner of valuations to evaluate properties in preparation for taxation under the act are null and void.

The meeting took place on Tuesday evening at the St Augustine South Community Centre.

Attorney Jagdeo Singh said, “We think there are several challenges that could be mounted against this act.” “We intend to take action about the notices which have gone out.

We believe they are beyond the power of the commissioner of valuations, and we intend to file a case asking that the penalty provisions of the act be deemed unconstitutional.” The provisions of the act, he said, are unconstitutional because it was not passed with a two-thirds majority.

Singh said it goes against the bill of rights guaranteed in the constitution and empowers the Board of Inland Revenue (BIR) to place a charge on homes. This, he said, goes against the right to the use and enjoyment of the property, the right to privacy, and the right to due process of law among other things. The qualification of people doing the evaluation and making the recommendations to the commissioner, he said, is a matter of concern and they intend to ask the commissioner for a list of the valuation professionals and their qualifications.

Concerns were expressed about the practicality of Finance Minister Colm Imbert’s recent announcement that Government was hiring 150 people to be trained (to be part of a total of 248) to assess over half a million properties by May 22.

Asked if pensioners will be exempted from paying the property tax, attorney Larry Lalla said the act provides for certain categories of people to apply to the Board of Inland Revenue (BIR) for a deferral of tax, but that was not an exemption.

“The tax would become a charge on your property which could be collected from your estate after you die,” he said.

He also said that based on the Valuation of Lands Act, 1970 the commissioner has the power to value the lands and to request further information. While he may have the power to request certain documentation, he said, “I doubt he has the power to take photographs. This could lead to abuse.” Asked whether squatters or people without deeds or leases to land would be exempted, attorney and COP general secretary Clyde Weatherhead said they will not. The occupier of land is defined as the owner even if the owner has no deed or lease to the land, he said.

He added while there is provision to apply for a deferral, the problem is whether or not that person would feel qualified to make an objection on his own or would have to pay a lawyer to object on his behalf.

Asked whether they should fill out the forms sent out by the commissioner, Weatherhead said, “The form that is here is not the form in the act.” Displaying a form, he said, “What is on top of this piece of paper is not what is in the law.

Neither the Minister of Finance nor the Commissioner of Valuations can change what is the law passed by the Parliament.” The form in Schedule II of the Valuations Act, he said, does not ask for attachment of any document.

“It is not the prescribed form in law. It is illegal.” The only other time the forms can be filled, he said, is if it was sent by the commissioner by registered mail and addressed to the property owner, and not by someone walking around and sticking it in the mail box.

Those who received unaddressed notices were advised to keep a record of it and if any problem arises, to show what was sent.