Guyana

Corporate - Income determination

Last reviewed - 07 July 2020

Inventory valuation

Inventory is valued at the lower of cost and net realisable value. Cost is generally determined using the average cost method for accounting and tax purposes, but the first in first out (FIFO) method is also acceptable.

Capital gains

Gains derived from the disposal of an asset within 12 months of its acquisition are treated as ordinary income and subject to corporate tax at the applicable rates. Gains derived from the disposal of assets held for more than 25 years are exempt from tax. Otherwise, gains are subject to capital gains tax. See Capital gains taxes in the Other taxes section for more information.

Dividend income

Corporate tax is payable on dividends received by resident companies from non-resident companies. However, dividends paid by resident companies to other resident companies are exempt from tax.

Interest income

Interest income is taxed at the applicable rate of corporate tax.

Royalty income

Royalty income is taxed at the applicable rate of corporate tax.

Foreign income

Income earned by a non-resident company in Guyana is subject to tax in the year the income was earned. There is no deferral regime in Guyana.