…VAT collections expected to be 14.3 per cent higher than 2017

The Government of Guyana is expecting total revenue collection to be in the order of $216.9 billion by the end of 2018.
This is according to Minister of Finance Winston Jordan, who presented the 2019 National Budget in the National Assembly on Monday.

The minister, during his speech, said that in 2018, the Guyana Revenue Authority (GRA) was restructured to place additional focus on “better serving large tax payers, strengthening the regional tax offices, as well as, compliance-related activities.” The minister said that these measures together with the nine-month tax amnesty, which ended in September 2018, are expected to increase tax revenue collections to $199.5 billion, $28.3 billion over 2017.

“Higher collections of withholding tax, excise tax, personal income tax and value-added tax (VAT), by 36.7 per cent, 21.0 per cent, 19.3 per cent and 14.3 per cent, respectively, are projected to contribute to this improved performance,” Minister Jordan announced. “Taxes from international trade transactions, including import and export duties and travel taxes, are projected to rise to $3.3 billion, 20.5 per cent above the 2017 revenue collection,” said Minister Jordan.

He said that for 2018, non-tax revenues are anticipated to reach $17.4 billion, driven by receipts of $4.0 billion from rent and royalties and $3.4 billion of transfers from statutory agencies. He noted that additionally, dividends of $1.2 billion from public enterprises, $3.3 billion from Bank of Guyana profits and $300 million from the Lotto, account have been received and transferred to the Consolidated Fund.

The minister said, too, that in 2018, the GRA is anticipated to remit about $73 billion, up from $49.2 billion, in 2017. “This upsurge is mostly associated with remissions related to investments within the petroleum, sector, as evidenced by the 74.2 per cent rise in remissions to companies and businesses,” the minister said.