Property Tax : Nature & Meaning of Property


 

NATURE AND MEANING OF PROPERTY

The Property Tax Act, Chapter 81:21, was put into operation by Act No. 19 of 1962, paving the way for property tax to be charged from the year of assessment beginning 1st January, 1962. The Property Tax Act is one of the Acts administered by the Commissioner - General, Guyana Revenue Authority.

NATURE OF PROPERTY TAX

 Property Tax is an annual tax charged on the net property which any person, including an individual and a company, owns at the end of each year.

MEANING OF PROPERTY

The term 'Property' as used in relation to the Property Tax Act refers to all property movable or immovable, rights of any kind, and effects of any kind, situated or having their seat in Guyana or elsewhere and the proceeds of sale thereof, and any money or investment for the time being representing them.

MEANING OF NET PROPERTY

Net Property is the amount by which the total value of the property owned by any person at the end of the year, exceeds the total value of all debt owed by him at that time.

 THE FOLLOWING DEBTS ARE NOT INCLUDED IN COMPUTING NET PROPERTY:

 

  • any debt incurred without consideration in money or money's worth;
  • any debt incurred which is not wholly for the assessee's benefit;
  • any debt for which there is a right to reimbursement from any other person unless such reimbursement cannot be obtained;
  •  any debt incurred on the assessee's property which is to be excluded for the purpose of Property Tax under this Act; and
  •  any debt incurred outside Guyana except a debt that has been contracted to be paid in Guyana or secured on property in Guyana.