Latest update April 14th, 2025 12:08 AM

Guyana's largest selling daily and New York's most popular weekly

Latest News

Taxation of Guyana’s informal economy very possible – Analysts

May 12, 2017 News

The informal sector consists of firms and individuals who are not fully registered and regulated, and therefore not in the standard tax net. It is therefore no surprise that taxation of the informal sector has posed problems for tax administrations locally, regionally and internationally.
However, some of Guyana’s leading tax analysts believe that it is quite possible to catch those within the informal sector and ensure they pay their fair share of taxes.
According to analysts such as Chartered Accountant, Chris Ram and Commissioner-General of the Guyana Revenue Authority (GRA) Godfrey Statia, this can be achieved through a combination of business registration and formalization, strengthening tax enforcement as well as investigations and penalties as a deterrence, and indirect taxation through a system of withholding and credits.
In a special tax report that was commissioned by the Granger administration, Guyana’s tax consultants said that since the decision about whether to formalize is usually based on costs (which can include higher taxes) versus benefits (the ability to stay under the tax radar by not so registering together with access to credit), formalization alone will not have the desired effect; hence the proposal of a system of presumptive taxation to bring these individuals into the tax.
“We propose the use of presumptive taxation for specific trades, and difficult to tax, unincorporated and informal businesses such as minibuses, taxi services, trucks, etc… We also propose that the duty free taxes on fuel be removed and replaced by a system of credits, for example, for gold miners, upon submission of gold to the Gold Board.”
The tax analysts also proposed that more resources should be devoted to the access of third party information, and that the timely submission and utilization of contractors’ information should be enforced by the Authority.
They also noted that the presence of TINs (Taxpayer Identification Numbers) on contractors’ submissions will enable for improved enforcement and compliance.

Similar Articles

The Glenn Lall Show|| April, 11th, 2025

 

Follow on Tik Tok @Glennlall

THE BLUNT OF THE DAY

Sports

Runsfest ends in draw, as arch rivals play hearts out

Runsfest ends in draw, as arch rivals play hearts out

Apr 13, 2025

2025 CWI Regional 4-Day Championships Round 7…GHE vs. TTRF Kaieteur Sports- Guyana Harpy Eagles played to a draw against long-time rivals, Trinidad and Tobago Red Force yesterday at the Queen’s...
Read More
Guyana Harpy Eagles trio fined for breaching Cricket West Indies code of conduct during final round of the West Indies Championship

Guyana Harpy Eagles trio fined for breaching...

Apr 13, 2025

Sport Ministry injects $3M into EDFA League

Sport Ministry injects $3M into EDFA League

Apr 13, 2025

GCB President meets U15 team ahead of Regional showdown

GCB President meets U15 team ahead of Regional...

Apr 13, 2025

Jumbo Jet Thoroughbred Racing Committee, Guyana Cup 2025, set for August 17 at Rising Sun

Jumbo Jet Thoroughbred Racing Committee, Guyana...

Apr 13, 2025

Week 3 of East Bank FA Boys’ U14 League shines with talent and passion

Week 3 of East Bank FA Boys’ U14 League shines...

Apr 13, 2025

Features/Columnists

Publisher’s Note

Freedom of speech is our core value at Kaieteur News. If the letter/e-mail you sent was not published, and you believe that its contents were not libellous, let us know, please contact us by phone or email.

Feel free to send us your comments and/or criticisms.
Contact: 624-6456; 225-8452; 225-8458; 225-8463; 225-8465; 225-8473 or 225-8491.
Or by Email: [email protected] / [email protected]

Weekend Cartoon

Bridge Watch

Demerara Harbour Bridge

> Berbice Bridge […]