Taxes on vehicles imported ‘will come down’ – Jagdeo

Vice President Dr. Bharrat Jagdeo assured Guyanese on Thursday that the taxes for the importation of vehicles would be reviewed and eventually reduced.

Jagdeo, during a People’s Progressive Party Civic (PPP/C) press conference, reminded citizens that the government has been reducing import duties through various budgetary measures.

Even so, he acknowledged that import duties may still be high.

“The duties are still high, we will probably put them under review in the next term in office so they will come down but as the road network expands too, I think we can allow a more liberal taxation system on the vehicles too,” Jagdeo said.

In the 2025 National Budget, the government announced the removal of taxes (both customs duty and Valued Added Tax) on electric vehicles. Furthermore, a 50% write-down allowance on electric vehicles is offered, serving as an additional incentive for their purchase.

In 2023, the duty of new motor vehicles below 1500cc was reduced from 45% to 35%. This was expected to reduce the cost of importing vehicles by about $200,000. Meanwhile, for used imported vehicles below 1500cc, the govenrment replaced the tax rate with a flat rate of taxes of $800,000, reducing the cost of importing such vehicles by $300,000.