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Khurshid Sattaur
Commissioner General
Mission Statement
Our mission is to promote compliance with Guyana’s Tax, Trade and Border Laws and Regulations through education, quality service and responsible enforcement, thereby contributing to the economic and social well being of the people of Guyana. |
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Nadia De Abreu
Director - Corporate Communications Unit
Tel: (592) 227-3680
ext 222 |
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(Increase in threshold)
In the 2008 National Budget, Parliament has approved the increase of the annual threshold from $336,000 to $420,000.
The following is to be noted by all employers who are subject to the PAYE system:
- This increase takes effect from 1/1/2008 (Y/A 2009) and applies to income earned during the year 2008 commencing 1st January, 2008.
- This translates into a monthly amount of $35,000 and for weekly paid employees the amount is $8,076. Employees who are paid on fortnightly and daily bases would be entitled to allowances of $16,153 and $1,147 respectively.
- It is to be noted that the 33 1/3% rate is applied to income in excess of $420,000 per annum.
- The following examples are used to illustrate the application of the new threshold
Particulars |
Before (threshold being $336,000) |
After (threshold being $420,000) |
Income |
Chargeable Income |
Tax |
Chargeable Income |
Tax |
420,000 |
84,000 |
28,000 |
Nil |
Nil |
600,000 |
264,000 |
88,000 |
180,000 |
60,000 |
800,000 |
464,000 |
154,667 |
380,000 |
126,667 |
1,000,000 |
664,000 |
221,333 |
580,000 |
193,333 |
- Employers who operate a computerized system may wish to note that the formula for computing the tax is as set out below:-
Income= x
Tax = if(x>420000, (x-420000)/3,0)
- All employers are to ensure that this measure is implemented in the month of April 2008 and the appropriate adjustments made for deductions in respect of the months of January to March 2008. The adjustments should be made in accordance with the guidelines set out below:-
- When remitting the April month’s deductions which is due on or before 14th May 2008, any over-deductions made in respect to the months of January to March 2008, should be adjusted for each employee and the net amount remitted to the Guyana Revenue Authority. The employees who have suffered the over-deduction should be refunded their taxes.
- For over-deductions made for the months of January to March, these amounts should be deducted from remittances for the month of April and the following schedule should accompany the remittance statement for the month of April.
# |
Name of employee |
Over deduction for the months of January to March |
Actual Deductions made for the month of April |
Net deduction remitted for the month of April |
1 |
John Brown |
6,999 |
24,469 |
17,470 |
- Employees whose total income for the year 2008 is below the new threshold and who suffered taxes for the months of January to March are advised that they should file income tax returns for the year of income 2008 so that at the appropriate time, the Guyana Revenue Authority can refund their taxes that were over-deducted and remitted.
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