Cabinet has reportedly reached a unanimous decision to withdraw the implementation of the 15% Value Added Tax (VAT) on electricity.
According to the details reaching Rainbowradioonline.com, the decision of cabinet was unanimous at a meeting held on Friday, February 2, 2024.
A publication by Asaase Radio indicated that consumers of electricity will no longer be obligated to pay the contentious 15% VAT on top of their utility bills.
Meanwhile, the government has agreed to engage in discussions with the International Monetary Fund (IMF) to reach a consensus on compensating for the anticipated revenue shortfall resulting from the abandonment of the VAT on electricity policy.
The resolution to address this deficit may involve additional spending cuts.
“The position currently is that the 15% VAT on electricity is off, and it is likely it could either be off totally or significantly slashed,” Asaase News reported.
By: Rainbowradioonline.com/Ghana
