The Guyana Revenue Authority (GRA) says though it was challenged by late and non-filing of tax returns it counts increased compliance by the public among its successes as much effort was put into educating taxpayers about their rights and responsibilities.
In a press release GRA Commissioner-General Khurshid Sattaur said taxpayers and VAT registrants were informed of their obligations regarding the various tax acts and through advisory and compliance visits, seminars and information sessions and published policies, among others.
Sattaur said the GRA also implemented the Total Revenue Integrated Processing System (TRIPS) at the Internal Revenue Department which has resulted in taxes being administered more efficiently. The commissioner-general said too an automated system was also implemented at the Licence Revenue Office that is linked to TRIPS to process transactions and utilize new security and enhanced certificates, licences and other documents. However, he said later in the year TRIPS also caused some problems relating to the various tax reforms measures being undertaken resulting in resistance to change and a perception of job insecurity. The GRA also experienced challenges including the failure of some businesses to issue tax invoices and remit tax which forced it to seek redress from the court.
As regard revenue targets and the performance of revenue last year Sattaur said he remains optimistic despite frequent interventions by the central government to reduce the rate of tax applicable to petroleum products which is calculated at a loss of over $3.5B. This, along with other measures to offset the cost of living impact from steep increases in the cost of consumer items including the removal of VAT from 32 additional items posed significant challenges to the GRA targets the release said.
According to the release the GRA also focused on changing its organisational structure from one centred on the type of tax to one centred on functions. This initiative formed part of its component of the Government of Guyana/Millennium Challenge Corporation, Guyana Threshold Country Plan/Implementation project. Under the two-year project which began on January 14, 2008, the GRA continues to benefit from technical assistance to implement several tax reform measures aimed at improving its efficiency and effectiveness in tax collection and revenue generation.
In 2008 it also achieved the following tax reform measures: the implementation of a new functional type organisation, the establishment of a tax analysis unit, the development of a three-year comprehensive training programme, the establishment of an intelligence and risk management division, the establishment of a debt management division, the codification of the tax laws and a comprehensive review of the tax system.
