Former Attorney General and Executive Member of People’s Progressive Party (PPP), Anil Nandlall, has launched a legal challenge against the VAT Amendment Act which permits the Commissioner General of the Guyana Revenue Authority (GRA), to prohibit persons from leaving Guyana if they would have failed to pay their Value Added Tax (VAT).

In the legal matter brought against Attorney General and Legal Affairs Minister Basil Williams, Nandlall in his Affidavit is contending that the Value Added Tax (Amendment) Act 2017, which was duly assented to by President David Granger, is contrary to and inconsistent with Articles 40 and 148 of the Constitution.
It was pointed out that Article 8 of the Constitution declares that the said Constitution is the supreme law of Guyana and, if any other law is inconsistent with it, that other law shall, to the extent of the inconsistency, be void.

“Articles 40 and 148 of the said Constitution guarantee to every individual subject, as a fundamental right and freedom, protection of freedom of movement, that is to say, the right to move freely throughout Guyana, the right to reside in any part of Guyana, the right to enter Guyana, the right to leave Guyana and immunity from expulsion from Guyana, inter alia,” Nandlall stated while quoting the constitution.

He maintains that contrary to the Constitution, the Value Added Tax (Amendment) Act 2017, empowers and authorises the Commissioner-General of the Guyana Revenue Authority, an agency of the State, to prohibit a person from leaving Guyana, whom the Commissioner-General has reasonable grounds to believe may leave Guyana without paying all taxes due under the said VAT Act.

This can be done by the issuing of a certificate to the Chief Immigration Officer containing particulars of the Tax due, and request that the Chief Immigration Officer take the necessary steps to prevent the person from leaving Guyana until the person makes a payment in full or put alternative arrangements in place.
The former Attorney General is hoping to have Section 45(1) of the Value Added Tax Act, Chapter 81:05 as amended by Section 2 of Act No. 3 of 2017, Value Tax (Amendment) Act 2017 struck out.