The Excise Tax (ET) Act No. 11 of 2005 is administered by the Guyana Revenue Authority (GRA). Excise Tax is paid on taxable goods imported and not warehoused, taxable goods imported and warehoused and removed from the warehouse, taxable goods manufactured and sold in Guyana, at rates specified by regulations made by the Minister, which regulations shall be subject to an affirmative resolution of the National Assembly.
As such, Excise Tax is charged on the following items:
- Alcoholic Beverages;
- Tobacco Products;
- Petroleum Products;
- Motor Vehicles
The amount of tax is calculated on a sum referred to as the ‘chargeable value.’ For imported goods this will be their total value, as determined under the Customs Act, inclusive of freight insurance, Customs duties, fees and other charges that are payable upon entry to Guyana. For goods manufactured in Guyana the chargeable value will be its selling price, less any amount of VAT.
Petroleum products are taxed at a rate of 25 percent on motor spirit (gasoline) and three percent on diesel oil and gas oil; tobacco products at a rate of one hundred percent; alcoholic beverages at forty percent and motor vehicles at various rates according to age, engine capacity, type and usage. A few goods will be taxed at a flat rate instead of according to value.
NOTE: Goods that attract Excise Tax will also be subject to VAT, which will be applied to their Excise Tax-inclusive value.
Any person who carries on business as an importer of excisable goods, or who is a Guyana-based manufacturer of excisable goods that are for consumption in Guyana, must apply to the Commissioner General of the GRA to be registered for Excise Tax.
Before registering, a Taxpayer Identification Number (TIN) must be obtained from the GRA.
EXCISE TAX AND THE IMPORTER
An importer of excisable goods must pay the tax before the goods are cleared for use within Guyana.
Where goods are imported and not warehoused, payment to the GRA must be made upon importation. Where goods are imported, warehoused and later removed from the warehouse, payment must be made on removal from the warehouse.
The Commissioner General of the GRA may grant permission for the temporary importation of taxable goods without payment of tax on being satisfied that the goods are for a temporary use, or will be exported within three months, subject to the payment of a deposit or security.
EXCISE TAX AND THE MANUFACTURER
Where taxable goods are manufactured in Guyana and removed from a warehouse, or manufactured and sold in Guyana, payment of the tax to the Guyana Revenue Authority (GRA) must be made no later than fifteen days after the end of the month during which they were removed or sold.
No Excise Tax will be paid on goods which are exported. However, if a manufacturer cannot account for any taxable goods, those goods will be deemed to have been removed from a warehouse or made available for consumption in Guyana during the month that the deficiency occurred.
EXCISE TAX RETURNS
Once registered, importers and manufacturers must make an accurate monthly Excise Tax return, no later than 15 days after the end of each month.
A refund of Excise Tax may be made if. –
- Tax has been paid in excess of what is properly due, or
- The excisable imported goods are subsequently exported, or put on a foreign-going ship or aircraft.