Guyana: Court Overturns $479M Ferrari Tax Bill and $320M Rolls-Royce Claim in Guyana

The High Court in Guyana has annulled a tax bill of $479.7 million associated with a Ferrari 488 and a claim of $320 million linked to a Rolls-Royce Cullinan. These assessments were imposed by the Guyana Revenue Authority (GRA) against Hana Mohamed and Bibi Mohamed. Justice Gino Persaud delivered the ruling on Thursday, determining that the GRA’s enforcement actions and certain conditions of the remigrant concession were unreasonable and not supported by the Customs Act.

The case arose from the importation of the two luxury vehicles under the remigrant concession. The court’s decision set aside the $479.7 million assessment against Hana Mohamed regarding the Ferrari and the $320 million assessment against Bibi Mohamed concerning the Rolls-Royce. This legal challenge followed an attempt by the GRA and police last year to seize the vehicles from the residence of Opposition Leader Azruddin Mohamed.

In the case of Hana Mohamed, the court found that the Commissioner General acted unreasonably by not adequately considering her explanations about temporary absences from Guyana before imposing the taxes. This matter has been referred back to the Commissioner General for further consideration after a formal hearing.

For Bibi Mohamed, the court granted a permanent injunction that prevents the GRA from seizing or forfeiting the Rolls-Royce. Additionally, the GRA was ordered to pay $750,000 in legal costs by August 13. Justice Persaud also invalidated two conditions attached to the remigrant concession, which required vehicle owners to use the concession vehicles as their primary mode of transportation and to report to the GRA every six months for inspection.

Outside the court, attorney Siand Dhurjon, who represented the Mohameds, described the ruling as a victory for judicial independence. He stated that the GRA had not fairly considered Hana Mohamed’s explanations before proceeding with the tax demands. Hana Mohamed expressed her satisfaction with the decision, feeling vindicated and alleging that the assessments were part of political persecution against her family and the Opposition Leader. She raised concerns about the GRA’s focus on her family while similar issues involving government officials appeared to be overlooked. The GRA was represented by a legal team led by Senior Counsel Robin Stoby and Anand Ramlogan, along with attorney Sanjeev Datadin and others.

Source: hgptv.com