The Trades Union Congress (TUC) has shot down claims by President Akuyfo-Addo that his administration cannot afford to remove taxes on petroleum products.
General Secretary of the TUC, Dr. Yaw Baah advised the government to provide incentives that will cushion industry players and consumers who are reeling from the impact of high fuel prices in the country.
President Nana Addo Dankwa Akufo-Addo has dismissed calls on the government to reduce taxes on petroleum products.
He asserted that such a move will affect the government’s revenues.
Addressing the 2022 May Day parade at the Independence Square in Accra, he indicated that the government risks losing about GH¢4 billion if it makes any such move.
“Removing taxes on petroleum products will reduce government revenues by some GH¢4 billion. At this time, when we are determined to expand government revenues in order to increase our capacity to finance our own development, can we afford to reduce tax revenues by GH¢4 billion?” he quizzed.
But Dr. Baah has disagreed saying other countries “gave money to their citizens” at the height of fuel price increment, which did not run them into losses; hence, government has no excuse for denying calls for the removal of petroleum taxes.
“I think this is a social investment that we need to do to bring calm to society to avoid any problems from the social groups, I hope the President will take this again.”
“I did not agree fully with the President saying that ‘if I remove all taxes on petroleum, Ghana will lose ¢4 billion.’ I don’t understand what he meant by loss. If you give something to your citizens, you haven’t lost anything.
“The President only looked at the money aspect in terms of quantum or whatever he said he was going to lose,” Dr Yaw Baah added.