Solution: Guyana Statutory Documentation 2021

Solution: Guyana Statutory Documentation 2021




GUYANA STATUTORY DOCUMENTATION


The details listed below provides an insight into the statutory calculations in Guyana and how to proceed with the setup on HRplus Application. 

  There are two statutory deductions each pay period

  1. National Insurance 
  2. Pay As You Earn 

Order of Calculation

Code

Description

1

NISGUY

NIS Guyana

2

PAYE 

Pay As You Earn 


NIS TABLE 








PAYE TABLE 



PAY GROUP STATUTORY LINK 





General Income Tax use cases for CURRENT Year of Income

  1. Your Non-taxable Income is set at 65,000 per month.
  2. If you earn 65,000 or less per month OR 780,000 or less per year, no Income Tax is deducted from your salary
  3. NIS is NON-Taxable and is deducted before final tax is calculated

The system automatically calculates 1/3 of the income and 5.6% of the NIS up to a maximum of $280,000 for the employee tax allowance. 

Considerations for Monthly Calculations:

  1. If you earn more than 65,000 per month and less than or equal to 195,000 per month, 28% Income Tax is deducted
  2. If you earn more than 195,000 per month, 1/3 of the gross salary you earn is your Non-Taxable Income
  3. If you earn more than 195,000 per month, your Income Tax deducted is calculated in two (2) parts:

Before the deductions are made; 1/3 of the gross amount needs to be calculated as your Non-Taxable Income, then the NIS deductions, then the following taxes:

                    1)   28% of the first 130,000 of your chargeable income is deducted and           
                     2)   40% of every dollar of chargeable income above $130,000 is also deducted

Considerations for Annual Calculations:

  1. If you earn more than 780,000 per year and less than or equal to 2,340,000 per year, 28% Income Tax is deducted
  2. If you earn more than 2,340,000 per year, 1/3 of the gross salary you earn is your Non-Taxable Income
  3. If you earn more than 2,340,000 per year, your Income Tax deducted is calculated in two (2) parts:

Before the deductions are made; 1/3 of the gross amount needs to be calculated as your Non-Taxable Income, then the NIS deductions, then the following taxes:

                    1)   28% of the first 1,560,000 of your chargeable income is deducted and
                     2)   40% of every dollar of chargeable income above 1,560,000 is also deducted