Not simple
The revenue challenge facing the new administration is not a simple one. Guyana employs a tax structure with tax rates that should help it yield far more revenue than it currently receives. The tax structure which consists of the share of the various taxes in revenue collection in Guyana is sufficiently broad and refined that one ought to remain surprised at how little is being collected by the authorities. The revenues collected over the last seven years do not necessarily reflect the true amount of revenue that could have been collected. This article focuses on the behaviour of tax revenues from 2006 to 2014 and explores some of the issues that confront the collection of optimum revenues in Guyana. It intends to be forward looking as some thought is given to the need to increase revenue collections using reasonable and rational means. The article will be presented in multiple parts as it seeks to provide readers with enough information about the origins and uses of the tax structure and expectations of revenue collection from it for the New Year.
Bulk of taxes
The responsibility for revenue collection in Guyana is distributed among several institutions. The National Insurance Scheme collects taxes that are used to meet a variety of social needs of the Guyanese workers or retirees. It also caters for those who suffer misfortunes or disabilities from injuries on the job. It provides a variety of benefits to the contributors to the scheme. The Guyana Forestry Commission (GFC) collects taxes that derive from activities in the forestry sector. Another agency that collects taxes on behalf of the Guyana Government is the Guyana Geology and Mines Commission (GGMC).