Leader of the Opposition, Robert Corbin submitted a motion to the National Assembly on Friday calling for, among other things, the immediate establishment of a special all-party Parliamentary Committee to make recommendations aimed at bringing Value Added Tax (VAT) relief.
A press release from the PNCR on Monday said the motion was submitted after representation was made to Corbin by executives of the Guyana Trades Union Congress, including President Andrew Garnett, General Secretary Lincoln Lewis and Norris Witter. They highlighted what they said were the harsh effects of the VAT on workers of the country.
The recommendations also call for the reduction of the VAT rate of 16 per cent, the widening of the list of zero-rated and exempt supplies and for a phased implementation of the tax regime.
The motion is also appealing for the immediate implementation of salary increases for those categories of workers most affected by the implementation of VAT and for the establishment of a National Commission on Tax Reform to review the tax system and to make recommendations for, inter alia, the raising of the income tax threshold and reduction of income and corporate taxes.
The motion also calls for the membership of the proposed commission to include various stakeholders, including the GTUC, the private sector organisations, the religious community and other social sector organisations. The motion was seconded by Basil Williams the PNCR’s Director of Industrial Relations.
The government has tabled amendments to the VAT legislation and these should give the Minister of Finance leeway in making changes to the list of goods and services taxable under VAT.
