Page 93 - Caribbean-Central America Profile 2018

GUYANA

CARIBBEAN-CENTRAL AMERICA PROFILE 2018

• Proceeds and profits from investments may • Unlimited carryover of losses from previous INCENTIVES FOR THE
be freely repatriated out of the country years COMMUNITIES OF LINDEN,
and business expenses in foreign currency • Accelerated depreciation on plant and ITUNI AND KWAKWANI
are permitted. Limitations may be placed machinery for approved activities In addition to the incentive regime that presently
on enterprises that are under bankruptcy obtains elsewhere in Guyana, projects in these
proceedings, have been declared insolvent, • Full and unrestricted repatriation of capital, areas are eligible for the following additional
or when the investor has pending criminal profits and dividends incentives:
proceedings. • Benefits of double taxation treaties with the • Waiver of Customs Duty on all imported
• Investors can hire foreign personnel UK , Canada, Kuwait and Caricom countries plant, machinery, equipment and spare parts.
and have the right to repatriate their net • Exemption from Customs Duty and zero • For manufacturing and agricultural
earnings. rate of Value-Added-Tax on items approved investments only, waiver of Customs Duty
• Intellectual and property rights of investors under an Investment Agreement between on all vehicles imported exclusively for use
are guaranteed under Guyanese law. the Government and the business in the business.
• In cases of disputes, mediation is the • Exemption from Excise Tax on items In addition to the General and Specific
recommended form of conflict resolution. approved under an Investment Agreement Incentives, further incentives are offered for
investment in the following sectors:
However, if settlement is not made amicably, between the Government and the business
the investor may seek international arbitration • Zero rate of Value-Added-Tax on exports Manufacturing
• Exemption from Customs Duty on a
under the rules of the International Centre for wide range of process machinery and
the Settlement of Investment Disputes (ICSID). Special Investment Incentives are offered above equipment including packaging equipment
and beyond the general incentives and sectoral – fruit processing, sewing machines, four
The Government of Guyana provides three incentives. These include: processing, poultry feed
forms of incentives to foreign investors: general • Exemption from Customs Duty on a wide
incentives, special incentives and sectoral FIRMS PRODUCING NON- range of auxiliary equipment – boilers, fork-
incentives. The following General Incentives TRADITIONAL PRODUCTS FOR lifts, scales for continuous weighing, conveyors
target the productive sectors and are available EXPORT
to all investors: Export Allowances for non-traditional exports to • Exemption from Customs Duty and zero
rate of Value-Added-Tax on raw materials
• Exemption from Customs Duty on most markets outside of CARICOM. The allowance and packaging form manufacturers who
plant machinery and equipment is granted as a percentage of export profits, export 50 percent or more of their products
• Exemption from Customs Duty on raw ranging from 25% to a maximum of 75%. • Exemption from Customs Duty on raw
materials and packaging materials used in materials and packaging materials used in
the production of goods by manufacturers PIONEERING INVESTMENTS the production of goods by manufacturers
• Exemption from Customs Duty and zero Tax holidays for pioneering investments. • Zero rate of Value-Added-Tax on sacks and
rate of Value-Added-Tax on raw materials Pioneering investments can either be for new bags used for packaging of goods
and packaging for manufactures who export products or for targeted locations. Tax holidays • Exemptions from duties and taxes from items
50 percent or more of their products may be granted for a period of up to 10 years. covered under an Investment Agreement
Starting a Business - Registration Requirements:
No: Procedure Time to complete: Costs
GYD 175 (name search)
1 Search for company name and reserve proposed name 1 day
GYD 800 (reservation)
2 Obtain declaration of compliance 2 days GYD 15,000
GYD 60,000 (fixed
registration fee) + GYD
3 Register company with Registrar of Companies 7 days 13,000 (fees for filing
and certifying copies of
documents)
File for tax identification number (TIN) with the Revenue
4 1 day no charge
Authority
7 days on average (simultaneous with previous
5* Register for VAT no charge
procedure)
6* Register for the social security 7 days (simultaneous with previous procedure) no charge
2 days on average (simultaneous with previous
7* Make a seal GYD 2,000
procedure)
* Takes place simultaneously with another procedure Source: The World Bank Group

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