GRA re-introduces new flat rate system to clear personal goods

The Guyana Revenue Authority (GRA) is implementing a new flat rate system for clearing personal effects—almost a year after a previous attempt was scuttled by smuggling.

The new system, which took effect from yesterday, will see boxes, barrels and cartons valued up to one US$1,000 or its equivalent being cleared utilising the Simplified Customs Declaration Form C73. Under the previous system, only personal effects valued up to half that amount were cleared from Customs utilising the C73 form, the GRA said in a statement.

In December last, GRA said, it attempted to implement the new system but was forced to suspend it after the discovery of prohibited items imported in barrels at a city wharf. Consequently, the standard operating procedures were revised and other measures geared at safeguarding the system were instituted. In addition, GRA explained that the new system will be supplemented with the random selection of goods and random risk management profiling.

As a result, shippers or their agents will be required to state on their manifest, the specific size of/and description of the contents of the consignment.

The GRA emphasised that a number of measures were put in place to ensure the system is not compromised and consultations were held with various stakeholders, such as the Shipping Association of Guyana, before it was finalised.

“…The changes were made with the public’s convenience in mind. With the simplified system, once the required information has been completed by persons whop are receiving packages, delays will be avoided,” GRA Commissioner-General Khurshid Sattaur was quoted as saying in the statement.

He added that “in light of the upcoming festive season, an increase in the quantity of personal effects entering the country is expected.” As a result, he said the implementation of the new system would lessen unnecessary delays.

The new rates for clearing jumbo/large barrels (12 cubic feet) is $4,000; medium (10 cubic feet) is $3,000; and small (six cubic feet) $2,000. The rates for boxes or cartons measuring 12 cubic feet (economy boxes) will be $4,000; those sized three cubic feet to 12 cubic feet, $2,500; and those 2.8 cubic feet and below, $1,500.

The GRA noted that skids and pallets will not be considered as personal effects. Therefore, goods shipped using skids and pallets will be processed as commercial items and will be subject to VAT and excise taxes.

Personal effects with values exceeding US$1,000 would be cleared using the Customs Decla-ration Form (C72).