Growing concerns in Linden over administration of VAT
Guyana Chronicle
January 23, 2007
CONCERNS are growing among residents of Linden in relation to the alleged improper administering of the Value Added Tax (VAT) by seemingly misguided businesses, the Government Information Agency (GINA) reported yesterday.
GINA said the apparent effort to fleece consumers is, reportedly, primarily concentrated in groceries and supermarkets, with customers complaining that, despite information received from the Guyana Revenue Authority (GRA) on the computation, some business places continue to add 16 per cent to the total bill, although some items do not attract VAT.
Other reports suggest that businesses are failing to distinguish the retail price from the VAT charges, making it impossible for purchasers to determine the accuracy of the calculations, GINA said.
The agency said the presence of GRA officers in the township, over the last few weeks, has been acknowledged but it has resulted in no notable adjustments to prices.
GINA said, in anticipation of hiccups during the implementation of VAT, the GRA deployed teams to various locations throughout the capital and other communities but, while some businesses have demonstrated swift compliance with the stipulations, others remain lethargic.
GINA said the government has maintained its resolve to monitor the implementation of the new system with a view to making appropriate adjustments and, to this end, a motion was moved in the National Assembly to amend the VAT legislation and effect appropriate measures following a review of some categories of taxable goods and services.
According to GINA, the proposed amended bill allows the Minister of Finance to work directly with the GRA in making adjustments to deliver relief on an immediate basis.
GINA said this is intended to avoid the government, in keeping with its promise, from having to return to Parliament to effect tax exemptions on recommended goods and services.
This spirit was demonstrated in the latter part of 2006 when the government revisited and amended the legislation to include several food items in the zero-rated category, GINA stated.