Passage of Fiscal Enactment Amendment Bill: Miners pleased with Govt’s tax incentives – GGDMA

The Guyana Gold and Diamond Miners Association (GGDMA) has praised the Fiscal Enactment Amendment Bill, which was approved by the National Assembly at its last sitting.
The Bill, which was successfully piloted by Senior Minister in the Office of the President with Responsibility for Finance, Dr Ashni Singh, will certainly give much-needed tax relief to all miners.
“This Bill gives legislative effect to the recent commitments made by Government to the mining community,” the GGDMA said in a statement,
Back in May, Vice President Bharrat Jagdeo met with GGDMA members at the Arthur Chung Conference Centre, following which the Government announced several measures that would be taken to provide relief for miners.
The GGDMA welcomed, in particular, the Government’s move to reduce the final tax on income from gold produced, declared, and sold. This tax has been reduced from a maximum of 3.5 per cent to a new maximum of 2.5 per cent.
The other major development that the Association lauded was the abolition of the burdensome 10 per cent Tributors Tax which miners were subjected to for many years.
“The abolishment of the Tributors Tax will benefit the personnel working within the various mining operations throughout the country as larger disposable incomes will allow them to better support their families during this time of rising prices. Managers and owners of mining operations also welcome this move as it will create a more level playing field for recruitment and retention of quality personnel,” the statement relayed.
Meanwhile, the Association was pleased with the removal of the 14 per cent VAT on lubricating oils, stating that it will have an immediate positive impact on the mining sector, where heavy equipment is essential.
“The Association is also appreciative of the following incentives granted by the Government of Guyana to the Mining Sector since taking office in August 2020. these being; removal of tax and VAT on all-terrain vehicles (ATVs), removal of vat on machinery and equipment for mining, removal of vat on hinterland travel, removal of Police clearance requirement for miners to transport fuel in their own vehicles, removal of the requirement to register and obtain road licences for mining equipment and the removal of excise tax on fuel.”
The GGDMA is of the view that these measures by the Government will assist in reducing the burden of added operational costs and improving varying aspects of miners’ operations. They have lauded the Government for keeping these promises and supporting the sector.
“We value the partnership with our Government as we seek to ensure the continued viability of the mining sector,” the GGMDA added.