Third party debtors

—(1) If a taxpayer is in default under section 53, the Director General may serve a notice on a third party debtor requiring that third party debtor to pay an amount on behalf of the taxpayer. (2) On receiving a notice, the third party debtor shall pay to the Director General, on account of the taxpayer and by the date 76 CAP. 51 Tax Administration and Procedure specified in the notice, the lesser of the following three (a) the amount in respect of which the taxpayer is in default; (b) the money owed by the third party debtor to the taxpayer; and (c) the amount specified in the notice. (3) The date for payment specified in the notice shall not be before fifteen days following the date the third party debtor is served with the notice. (4) On receiving a notice under sub-section (1), the third party debtor shall not pay any amount to the taxpayer until the Director General withdraws the notice. (5) As soon as practicable after service of the notice on the third party debtor, the Director General shall serve the taxpayer with a copy of the notice. (6) Amounts payable to the Director General by a third party debtor under this section shall be a personal liability of the third party debtor, which may be collected in the same manner as a tax. (7) Money owed to a taxpayer includes– (a) amounts currently owing or that may become owing to a taxpayer; (b) amounts held or that may be held for or on account of a taxpayer; (c) amounts held or that may be held on account of a third person for payment to a taxpayer; Tax Administration and Procedure CAP. 51 77 (d) amounts held by a person who has authority from a third person to pay the money to a (e) in relation to a third party debtor that is a financial institution, amounts that the taxpayer holds in an account with the institution. (8) A notice may be served under this section on the taxpayer’s employer, requiring the employer to withhold and to pay to the Department, for a specified period, some part of the future wages or salary that becomes payable to the taxpayer. (9) The first five hundred dollars of wages per month are not subject to withholding under a notice described in sub-section (8). (10) If the third party debtor fails to pay the amount specified within the time specified in a notice under this section, the provisions of this Act apply as if the amount were tax due and payable by the third party debtor, on the date by which the third party debtor was required to make the payment to the Director (11) Notwithstanding sub-section (1), the Director General shall not serve notice on a third party debtor to recover any amount in respect of which a taxpayer is in default under section 53, if that third party debtor is the Government of Belize. (12) For the purposes of this section, “money” includes a debt obligation denominated or payable in money; and “third party debtor”, in relation to a taxpayer, means a person who owes money to the taxpayer.