Miners have written President David Granger imploring him to rethink new tax measures which they say will squeeze the life out of the industry and they are seeking an urgent meeting with him.
Today’s edition of Stabroek News contains an advertisement with the undated text of a letter dispatched to the President by the Guyana Gold and Diamond Miners Association (GGDMA) and the Guyana Women Miners Organisation (GWMO) making the appeal and citing provisions announced in the 2017 budget.
The letter and the request for a meeting within two weeks is the fulfilment of a commitment that the two organisations had given to members at a heated meeting on Friday at the GGDMA Headquarters on North Road when miners threatened mass protests.
Signed by Terrence Adams, President of GGDMA and Urica Primus of GWMO, the letter said that miners need to have consultations on several outstanding issues such as: the increase in the tributor’s tax from 10% to 20%, the payment of a 2% tax at source and the additional filing of income tax at the end of the year, the need to keep daily records of all transactions and punitive measures for failing to do so and VAT exemption on heavy-duty equipment among other areas.
Decrying the lack of consultation on the budget measures, the miners stated “Surely, after almost 30 years of miners operating under the established tax code it makes logical sense that the main stakeholders of the industry have some input on the changes that will affect their pocket and family’s livelihood. We cannot abide by the return of high handed decisions that impose upon the industry impractical measures that will drive away more people than it will retain”.
Criticisms were also aimed at those in charge of the industry.
“We note that several of the technocrats appointed to govern the industry and make changes to its future have little firsthand experience in what it actually takes to be a miner in Guyana”, the letter said, adding that the miners don’t believe that the technocrats truly understand the myriad factors that influence the operations of small and medium scale miners on a daily basis.
Concerns were also raised about the ability of the Guyana Revenue Authority (GRA) to discharge its obligations in relation to the new measures. The letter said that while the Commissioner General of the GRA is a practical person whose judgement and discretion will serve him well, the miners said they do not believe that the staff of the GRA are capable of discharging their duties as it relates to miners’ records.
“They will apply cookie cutter methods of revenue collection and taxation that is not applicable to our industry. Additionally, the fact that there seems to be the adoption of an erroneous `text book’ analysis of how gold production is done in Guyana which will now be used to measure our output is going to create hellish conflicts”, the letter stated.
An appeal was once again made to the Minister of Finance and the Head of the GRA to join the miners on a trip to the interior for a firsthand understanding about the industry “which they are about to tax into oblivion”.
Seeking a favourable response from the President and hinting at attempts to divide them, the miners warned “The GGDMA, the GWMO and all other miners stand together on this issue and we will not be divided.”
In the meanwhile, the miners urged their members to “join in solidarity in ensuring that our collective voices be heard. Wear your yellow; fly your yellow flags, be prepared to mobilise to take the actions that may become necessary to ensure our collective livelihood and future”.
In 2010, miners had mobilised in large numbers against environmental regulations.
