If VAT fails, society fails
• GRA boss

Kaieteur News
January 31, 2007

Related Links: Articles on VAT
Letters Menu Archival Menu

Commissioner General of the Guyana Revenue Authority (GRA) Khurshid Sattaur yesterday conducted a Value Added Tax (VAT) training seminar at the Regency Suites on Hadfield Street .

The forum, which was intended for bigger businesses, was sparsely attended, prompting Sattaur to blame the business community for the mass confusion regarding VAT.

“The business community is to be blamed for not fully educating themselves…When we hold these seminars only a few turn up and then complaints are made against the GRA…..It is up to you the business person to properly learn the aspects of VAT so that the consumers may not be cheated.”

The GRA boss acknowledged that there are a lot of problems with the implementation of VAT, but stressed that the GRA is working unremittingly to rectify the situation.

He added that the VAT system was tested successfully in other countries and there are numerous benefits for the business community. He said that these include the inculcation of proper business culture with regard to record keeping, allowing not only for VAT analysis, but a variety of business implications.

He added that if the new system fails it would be a reflection of the failure of the entire society.

Sattaur pointed out that the VAT education programme is one of the most extensive around the world and is costing the GRA millions of dollars.

The Commissioner-General emphasised that the GRA is working hard to alleviate problems and to properly educate the business community.

“I would want you to take the training that we are giving to you and incorporate it to the fullest extent. It is impossible for the GRA to hold training seminars for consumers … the population is too large and the facilities are not available.”

Sattaur also pleaded with the entrepreneurs to be more considerate of the consumers, who are the ones who are feeling the brunt of the confusion among the business community, since businesses can reclaim all VAT paid. The consumers cannot, he added.

Last week, the Georgetown Chamber of Commerce and Industry had accused the Guyana Revenue Authority of misleading information to the public.

Members of the Chamber said that unless they were prepared to operate at a loss they could not immediately lower the prices of the commodities they had on hand.

All of them said that food prices could begin coming down by month end since importers would not seek to stock on large supplies of perishables.

• However, there are other commodities, the prices of which may not come down until April.