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Income Tax and Tributors

Income Tax and Tributors

July 26, 2019

The Guyana Revenue Authority finds it necessary to provide guidance to the general public on the taxes it administers in order to promote voluntary compliance. This policy is intended to guide employers and employees regarding their obligation to withhold and remit Tributors’ tax respectively

Section 33F (13) of the Income Tax Act, Chapter 81:01 defines a tributor as ‘persons engaged in the gold or diamond mining industry who are rewarded for their labour under the tribute system, and includes divers, cooks, sailors, general managers, or persons engaged in site operations.’

Section 33F of the Income Tax Act, Chapter 81:01 states that ‘where on or after the commencement of this section any payment of emoluments is made by an employer to a tributor in relation to his employment as a tributor by the employer, the employer shall deduct or withhold tax at the rate of ten percent of the gross amount of such payment and shall account for and pay over the tax to the Commissioner-General on or before 1st April, 1st July, 1st October and 31st December, respectively, in each year of income:

Based on the foregoing, employers of Tributors are required to deduct ten percent (10%) from the gross earnings of the Tributor and remit it on a quarterly basis to the Guyana Revenue Authority.

Notwithstanding, gold and diamond miners also have the option of treating all persons employed by them as employees. This option will be at the discretion of the miner, who must take into consideration that they must pay the NIS Employers contribution on behalf of their employees. Where this option is utilised, the employer will be required to submit PAYE and Employer’s Returns.The PAYE remittance is due on the 14th day of every month for the preceding month, while the Forms 2 is due on the 28thFebruary each year.

In addition, the Tributor is obligated to submit an Income Tax Return on or before April 30 for the preceding year, in accordance with section 60 of the Income Tax Act, Chapter 81:01.

To facilitate this submission, the employer will be required to issue to every Tributor, an emolument slip which is a statement outlining the total income paid by the employee, together with the amount of tax deducted from the income. If the tax assessed is greater than the total tax deducted from the emolument, the difference must be paid by the Tributor on or before April 30.

Moreover, if the return is submitted late then the Tributor will be required to pay a late filing penalty of ten percent (10%) of the tax assessed.

Contact Us:
Tax Advisory Services Section
Communications & Tax Advisory Services Division
Guyana Revenue Authority
200 -201 Camp Street
Tel: 227-6060 | 227-8222 Ext: 1201-1204
Email: gravat@gra.gov.gy
Website: www.gra.gov.gy