In January 2016 Guyana joined the Global Forum. The Global Forum plays a crucial role in the process of automatic information exchange. It was entrusted to monitor the implementation of the new OECD standard on the automatic exchange of financial account information and to provide help to developing countries. As part of its membership Guyana has a menu of measures to implement inclusive of a review of legislative provisions and enhancement of the Competent Authority’s (GRA’s) administrative and operational capacity. This will ultimately enable the Guyana Revenue Authority to benefit from exchange of information with 160 member countries.
Guyana also has two Double Taxation Avoidance Conventions with Canada and United Kingdom, both of which provide for exchange of information. Guyana also exchanges information under the multilateral Caribbean Community (CARICOM) agreement. ”
“Exchange of Information between countries and tax authorities, is lauded as the most effective way we currently have at our disposal, to combat tax arbitrage . The FATCA agreement is one such agreement.
The US law known as the Foreign Accounts Tax Compliance Act (FATCA) is intended to tackle United States taxpayers who seek to evade taxes by holding offshore accounts. The FATCA requires that Financial Institutions in Guyana (depository, custodial, investment or specified insurance companies etc.) report any account holder who is a US citizen.
The information must be reported to the Guyana Revenue Authority (GRA) on a yearly basis. The GRA in turn relates the information to the US-Internal Revenue Service (IRS).
The GRA was designated the competent authority through an Inter-Governmental Agreement between the governments of Guyana and the USA.