PSU Raises Concerns Over Cost of Belize Tax Service Overhaul

The cost of transforming the Belize Tax Service Department into the new Semi-Autonomous Revenue Authority, or SARA, has become another point of contention between the Government and the Public Service Union (PSU). Appearing on The Morning Show on Love Television today, PSU President Dean Flowers discussed the financial implications of the transition and what he says the amalgamation could ultimately cost taxpayers.

Dean Flowers, President, PSU: “Since 2022, I have been here on this couch. I have called into this radio station. I have questioned this SARA. I have questioned what will this thing look like? Why do we need to go there given that the Belizean people, Belizean taxpayers are currently paying $20 million to amalgamate those two departments. Which if you look at the paper that was presented to Cabinet for them to amalgamate, said exactly what you started off with efficiency and better tax collection and no we’re at SARA which is supposed to bring about efficiency and better tax collection. So you mean to tell us that we’re on the hook for $20 million dollars which you did not you, failed to bring about the department that the taxpayers of this country and funded ? So we have put together a position paper Troy, you would have seen that position extensive, comprehensive, well research to say show us the data, show us whereby where are the leakages, show us the areas that we will improve collection on that is driving this proposal. We have been questioning this  for years from 2022 and more so in 2025 when we put to gather that position pape. To date, and even in the House not an iota of data was presented by the prime minister as Minister of Finance.”

Flowers’ comments follow Friday’s passage of the Revenue Authority Bill through the House of Representatives. Before the debate, the PSU rejected the bill and called on its members at the Belize Tax Service to prepare for whatever action may follow.  The union says it submitted comments on the draft terms of reference in May and was promised a meeting to discuss the proposed amendments, but that meeting never occurred. The PSU later compiled the concerns identified by employees and submitted a comprehensive document to the Financial Secretary and Director General on August 10.  Prime Minister John Briceño has argued that the PSU failed to make its submissions within the required period and did not attend the House committee meeting to present its objections. PSU Vice President Anessa Gonzalez, however, says the Prime Minister’s suggestion that the union dropped the ball was misleading.

Anessa Gonzalez, PSU Vice Président: “So July 7, because I want these days to stick out especially because of the comment of we neglected to do a presentation. July 7 we got a synopsis, a summary synopsis of why SARA would have come about. So then at that point in the minutes from May 21st the government in their minutes would have said that after we get the summer report, after 30 days, then they would expect feedback from us. I believe we presented our paper August 10th. We sent in in, and the president can allude, the Financial Secretary responded that he received in good receipt of our position on the bill. So this is nonsense that we’re hearing that PSU did not present anything. And so that’s why we have to come and set the record straight.”

The PSU maintains that it followed the consultation process and submitted its recommendations before the Finance and Economic Development Committee met on August 12. The union says it was the responsibility of the Financial Secretary and Director General to present those comments to the committee.  The PSU is also objecting to provisions giving the Minister of Finance the authority to appoint and remove SARA’s Chief Executive Officer. It calls for stronger checks and balances, greater transparency and institutional independence in the proposed authority