Tag: Taxes

Taxes to be slashed on four-door pickups

Posted on by Kayleigh Carter

Taxes on four-door pickup trucks are set to be reduced as part of a broader national strategy aimed at easing the tax burden, increasing disposable income, and promoting long-term wealth creation among ordinary Guyanese.

President Dr Mohamed Irfaan Ali, who is also the presidential candidate for the upcoming General and Regional Elections, announced the measure during a stakeholder consultation held on Wednesday at the Princess Hotel in Providence, East Bank Demerara.

The event was attended by representatives from the private sector, religious organisations, and youth groups. According to the president, vehicle ownership challenges were among the key concerns raised during conversations with citizens.

“We’re going to have a special mechanism through which four-door vehicles…will come at lower taxes,” President Ali said, drawing loud applause from the audience. “We’re going to pursue a taxation system that is going to lower the tax burden, improve tax compliance, and put more money back in your pockets.”

Ali said the new policy will be coupled with efforts to ensure that citizens continue to meet their tax obligations. Higher compliance, he noted, would allow the government to provide additional incentives and enable more Guyanese to own assets.

The initiative complements other proposed policies, including salary increases for public servants, higher old age and NIS pensions, expanded public assistance, additional cash grants, and affordable electricity for all consumers.

“The country must not only grow – individuals, families, businesses – every single person must grow,” the president said. “The grants, the increase in salaries…those are the things that will come naturally with the People’s Progressive Party/Civic.”

The administration has already implemented measures to support vehicle ownership, such as the removal of value-added tax (VAT) on new electric vehicles in 2023 and reducing the duty on new vehicles under 1500 cc and less than four years old from 45 per cent to 35 per cent.

Vice President Dr Bharat Jagdeo said the proposed tax reform would allow citizens to retain more of their income while stimulating key sectors of the economy.

“It has to incentivise economic activities,” he said, citing industries like poultry, fisheries, rice farming, and mining. “Every industry would [benefit] from that… because our taxation system must not penalise wealth creation, it must incentivise.”

The government also plans to expand its digital agenda by introducing a national electronic ID (e-ID) system and using technology to improve public services and infrastructure.

The PPP/C full 2025–2030 manifesto is expected to be released later this month.

Crowd disrupts GRA attempt to seize luxury vehicles over unpaid taxes

Posted on by Kayleigh Carter

A routine tax enforcement operation carried out by the Guyana Revenue Authority (GRA) escalated into a tense confrontation today, as law enforcement officers attempting to seize luxury vehicles from businessman Azruddin Mohamed were met by an angry mob at his Houston residence.

The GRA claims that the businessman owes the government $900 million in taxes for the vehicles.

In a release, the GRA said the operation followed repeated notices and a month-long period during which the Mohamed family was given the opportunity to settle the outstanding taxes or surrender the vehicles to the authority.

According to the release, officers visited the property this morning to enforce compliance after earlier attempts to engage Mohamed had failed.

However, upon arrival, the officers — who were outfitted with body cameras — were refused entry and reportedly faced resistance from a crowd that included women, children, and members of the media.

The tax agency claimed that Mohamed questioned the officers’ authority, directed them to speak to his attorneys, and then called out a group of supporters from his yard and nearby areas.

It noted that the situation quickly became volatile, with the crowd allegedly issuing threats and forcing the officers to retreat in fear for their safety.

The GRA stated that despite the tense encounter, its officers acted responsibly and within the confines of the law, taking all necessary precautions to avoid harm to innocent civilians.

The agency emphasised that no court order had been issued to halt the operation, contradicting claims made by Mohamed’s legal team. The GRA clarified that the mere filing of a legal action does not equate to a court injunction and reiterated that it has a legal mandate to recover public revenues from individuals who breach tax laws.

The vehicles targeted in the operation include a 2020 Ferrari PAD 5000 registered to Hana Mohamed, attracting $479,743,489 in taxes for breaches of the re-migrant requirements; a 2023 Land Rover Range Rover PAC 9000 in the name of Leslie Khan, with $61,485,982 owed for similar violations; a 2023 Rolls Royce PAE 5000 registered to Bibi Mohamed, with additional taxes of $320,064,246; and a 2020 Lamborghini Roadster PZZ 4000 titled to Azruddin Mohamed, with $371,775,168 in taxes due for false declaration of value. These figures come on top of earlier assessments made against Mohamed for two 2021 Toyota Land Cruisers, each incurring over $24 million in taxes for underreporting their value.

The GRA condemned what it described as a deliberate effort to obstruct its officers from carrying out their lawful duties. The agency maintained that Mohamed had been adequately informed of his legal obligations and deadlines, and that his refusal to comply indicated a clear intent to resist enforcement efforts.

The authority reaffirmed its commitment to recovering unpaid taxes while upholding the safety of the public and its personnel.