High prices by businesses continuing to affect consumers
Guyana Chronicle
February 6, 2007
GRA
THE Guyana Revenue Authority (GRA) yesterday said the unwarranted mark up of prices by some business as a result of the implementation of Value Added Tax (VAT) is continuing to affect consumers.
It said that Commissioner–General Mr. Khurshid Sattaur and Minister of Agriculture Robert Persaud met sugar workers of the Uitvlugt Estate, West Coast Demerara and other residents of the Uitvlugt community to discuss VAT implementation.
The authority said workers complained about the indiscriminate prices by most businesses in the region, pointing out that even the prices of items that are zero-rated under the VAT law have increased.
Sattaur, it reported, pointed out that the introduction of VAT was never intended to bring hardship on consumers and noted that the indiscriminate prices by some businesses are clearly intended to exploit consumers by taking advantage of this period to make greater profits.
The GRA said consumers complained that many businesses on the West Coast Demerara are not issuing receipts for purchases.
The authority stated that persons complained that they were often given the option of a receipt and paying VAT or no receipt and not paying VAT. They said too that many times when they asked too many questions the shopkeepers refused to sell them.
Responding to increased prices by small businesses also on zero-rated items, Persaud said that from this weekend trucks from the New Guyana Marketing Corporation (NGMC) will visit the region with essential food items.
He said with this persistence, it is expected that businesses will be forced to lower their prices since businesses cannot take all their goods for their personal use and since, food products especially, have a limited shelf-life.
The GRA noted that this is reflective of acts by some prominent businesses in the city as well and it advised businesses that are involved in such unscrupulous acts to take the necessary corrective actions within the earliest possible time.
The GRA stated that it will enforce the law to its fullest capacity since it believes that this is the only way to ensure justice is meted out to consumers.
Notwithstanding those malicious practices by some businesses, the authority said it is heartened by the adjustments by some businesses reflected in lower prices and in some cases, stable prices.
The GRA maintained that the VAT will contribute to a modern tax system and improvement in the lives of Guyanese.
It said it will conduct training for VAT registrants on the Essequibo Coast today as part of a three-day outreach to the region.