Guyana

How much is Wage tax (PAYE) paid by the employee in Guyana?

PAYE tax rates for 2023 are: 1) One-third of the person's income earned on an annual basis with a minimum of G$1,020,000 will be allowed as a deduction...

Modified on: Mon, 12 Feb, 2024 at 3:37 PM

Is there a tax-free sum (statutory deduction) applicable in Guyana?

Yes, one-third of the person's income earned on an annual basis with a minimum of G$1,020,000 will be allowed as a deduction (or tax-free sum) to determ...

Modified on: Mon, 12 Feb, 2024 at 3:42 PM

Which social premiums are applicable in Guyana?

One social premium is applicable:  The National Insurance Scheme (NIS) extends Social Insurance Coverage on a compulsory basis, to all persons between the ...

Modified on: Fri, 10 Nov, 2023 at 11:50 AM

When is NIS premium and insurance applicable?

NIS premium is applicable on all employees. And all kind of wages are NIS insurable wages.  Not to be included in the gross earnings of an insured person a...

Modified on: Fri, 10 Nov, 2023 at 11:50 AM

Which taxed fringe benefits are mentioned in Guyana law?

Much applied are taxed fringe benefits like rent-free quarters, board & lodge and housing. The taxed fringe benefit rent-free quarters is calculated bas...

Modified on: Fri, 10 Nov, 2023 at 11:50 AM

The NIS premium has an EE and ER part, but can the employer also take the EE part for his account? If so, the EE does not pay these premiums him/herself, does this have fiscal consequences?

Yes, also the EE part can be added to the ER part and this has no fiscal consequences for the employee.

Modified on: Fri, 10 Nov, 2023 at 11:50 AM

Is the EE part in NIS premium tax deductible?

Yes, the EE part in NIS premium lowers the taxable wage.

Modified on: Fri, 10 Nov, 2023 at 11:50 AM

Are Old age pensions taxed?

Pension plans should be approved by GRA to qualify as deductible contribution and if approved, the actuall benefits are non-taxable.

Modified on: Fri, 10 Nov, 2023 at 11:51 AM

If an employee turnes 60 and stays working for us, is the NIS still applicable or does it stop at 60?

NIS premium will still be applicable, but only 1.5% ER premium. No EE contribution any more.

Modified on: Fri, 10 Nov, 2023 at 11:51 AM

Do Civil Servants pay the same PAYE and NIS as regular employees?

Yes, but sometimes the Government will announce a payment without taxes.

Modified on: Fri, 10 Nov, 2023 at 11:51 AM

Are there any wage components that are deductible for PAYE base salary?

Yes, under Private Insurance 10% from the taxable income is tax deductible with a maximum of G$360.000 per year in 2023. This can e.g. be a private life or ...

Modified on: Mon, 12 Feb, 2024 at 3:45 PM

Is the EE part in a Private insurance plan in addition to PAYE also deductible for NIS base salary?

No, it decreases just the base salary for PAYE. But the deduction is only 10% from the taxable income with a maximum of G$360.000 per year.

Modified on: Fri, 10 Nov, 2023 at 11:52 AM

Does Guyana law prescribe any obligatory overtime percentages for overtime hours?

Yes, overtime hours more than 40 hours a week are paid at the rate of 150.00% of the employees' regular hourly rate.  

Modified on: Fri, 10 Nov, 2023 at 11:52 AM

Are overtime hours also taxed at the regular PAYE rates?

Yes, overtime hours are treated the same way for taxation as for 'regular' wages.

Modified on: Fri, 10 Nov, 2023 at 11:52 AM

IS NIS premium applicable on overtime?

Yes, NIS premium is applicable on overtime.

Modified on: Fri, 10 Nov, 2023 at 11:53 AM

What must be paid during sickness of an employee?

The rate of sickness benefit is 70% of the average insurable earnings during 2 monhts (or 8 weeks) immediately before the incapacity commenced. Sickness Ben...

Modified on: Fri, 10 Nov, 2023 at 11:53 AM

How is Severance pay taxed?

Severance or redundancy payments are untaxed and must be paid when employees are terminated without just cause or made redundant.  The minimum entitleme...

Modified on: Fri, 10 Nov, 2023 at 11:53 AM

Are Gratuities and Service Charge paid to the employee taxed?

Yes, both are taxed. However, tips money is untaxed.

Modified on: Fri, 10 Nov, 2023 at 11:54 AM

What is exactly meant by employee category ‘Tributor’?

Tributors are employed by Miners. Tributors are persons engaged in the gold or diamond mining industry who are rewarded for their labour under the tribute s...

Modified on: Fri, 10 Nov, 2023 at 11:54 AM

What is exactly meant by employee category ‘Pensioner’?

This category is especially created for paid pension benefits that are not taxable.

Modified on: Fri, 10 Nov, 2023 at 11:54 AM

What does Bank code mean in the employees import sheet template?

There are like 25 banks in Guyana.  For the employees import sheet template you will need to type the Celery code that corresponds to the employee's...

Modified on: Mon, 13 Nov, 2023 at 11:21 AM

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