Chairman of the Private Sector Commission (PSC), Gerry Gouveia Jr., announced on Tuesday that the commission is finalizing its annual submissions for the national budget, emphasizing critical areas such as economic diversification, tax reform, and workforce development.
In an interview with the News Room, Gouveia Jr. highlighted the PSC’s commitment to the budgetary process and noted that many of the commission’s previous recommendations have been adopted by the government. This year, a key focus is the continued increase of the income tax threshold to keep pace with inflation and economic growth.
“We’re asking for the income tax threshold to continue to rise to match inflation. The economy is growing, and we want to ensure that employees’ take-home salaries also increase,” he stated. He further elaborated on the possibility of implementing non-taxable allowances for employees to enhance their financial well-being.
The PSC is advocating for reductions in corporate tax to enable companies to reinvest more resources into their operations and workforce. One of the commission’s significant proposals includes the introduction of tax-deductible charitable donations, which could facilitate contributions to educational institutions, religious organizations, vulnerable populations, and communities in hinterland areas.
“If you create an economically viable mechanism for charitable donations that addresses areas where support is needed, the private sector can provide assistance without it being an additional expense,” Gouveia Jr. explained.
He pointed out that fostering support for STEM (Science, Technology, Engineering, and Mathematics) programs and developing training initiatives in a cost-effective manner would be beneficial for the country.
In addition to these proposals, Gouveia Jr. mentioned adjustments to vehicle duties and broader tax reforms aimed at enhancing competitiveness, promoting economic diversification, and ensuring workers receive greater remuneration at the end of each month.
The PSC remains dedicated to working collaboratively with the government to build a more resilient and inclusive economy for all Guyanese.
