Re-migrant wins case against GRA over ‘source of funds’ request

The High Court today ruled against the practice of the Guyana Revenue Authority (GRA) of requiring re-migrants to provide proof of source of funds before granting tax concessions on vehicles. A similar ruling had been handed down by then Chief Justice Roxane George in December 2024.

Today’s decision was handed down by Justice Sherdel Isaacs-Marcus in a case brought by re-migrant Bibi Mohamed against GRA as well as the Commissioner General Godfrey Statia.

The court found that the GRA’s actions in denying Mohamed the tax exemptions to which she was entitled were “arbitrary, ultra vires, unreasonable, irrational, unfair, an abuse of power, whimsical, capricious and without any legal foundation or authority.”

Justice Isaacs-Marcus granted several declarations and coercive relief, including orders of certiorari quashing the GRA’s decision and mandamus compelling the authority to act lawfully.

The court also awarded costs to Mohamed in the sum of $600,000, which the GRA has been ordered to pay on or before March 27, 2026.

Mohamed had been deemed a re-migrant by Minister of Foreign Affairs since April 5, 2024. Her attorney, Siand Dhurjon, submitted to the court that this automatically entitled her to exemptions from customs, excise, and value-added taxes on importing one vehicle of her choice.

The attorney submitted that once that status was granted, the role of the GRA is purely administrative: to process and give effect to the concessions provided by law.

The Customs Act requires that the tax exemptions be used within six months of becoming a re-migrant.

However, the court was told that the GRA delayed the application for tax exemptions by demanding bank statements, tax returns, and other “source of funding” information on at least three occasions.

Mohamed’s lawyer argued that no such documents are required by law before re-migrant concessions. Nevertheless, some of the requested information was submitted.

The lawyer noted that GRA officers then interrogated his client about her source of funds documents in October 2025. According to court documents, it was only until after almost seven months on April 2, 2025 that Gavin Low, the Deputy Commissioner of the GRA, wrote her and told her that the GRA had to refuse her tax exemptions because too much time had passed.

In its affidavits before the court, the GRA asserted that it had the power to impose additional requirements before granting exemptions and to seek source of funding information under the anti-money laundering legislation.

But the High Court declared that the applicant is lawfully entitled to the exemptions in accordance with law and that the GRA’s imposed requirements were arbitrary, ultra vires, unreasonable, irrational, unfair, an abuse of power, whimsical, capricious, and without any legal foundation or authority.

The court also issued orders of mandamus compelling the GRA to approve all applicable customs, excise, and value-added tax exemptions in favour of the applicant within fourteen days of her supplying a vehicle quotation for a vehicle of her choosing, and to forthwith take all steps necessary to clear and release the vehicle upon payment of the taxes properly applicable to her as a re-migrant.