The founder and leader of the Movement for Change, Alan Kyerematen, has indicated his preparedness to abolish several taxes imposed on imports that he said are unnecessary.
These taxes, he noted, are a huge burden to the business community.
The former Trade and Industry Minister said this in an engagement with members of the Ghana Union of Traders Association (GUTA).
To him, if this is archived, it will make Ghana the country within the ECOWAS subregion with the lowest tax regime.
“Under my presidency, Ghana will have the lowest tax rate regime in ECOWAS,” he said.
He explained that the immediate measures will include consolidating the existing NHIL and GETFund levies at the ports into the calculation of a new VAT rate, the abolition of the 2% Special Import Levy, the COVID-19 Health Recovery Levy, and the Ghana Health Service Disinfection Fee.
He also pledged that other charges on the importation of spare parts would be abolished two years into his administration.
Mr. Kyerematen further promised to undertake a comprehensive assessment of the relevance of all other administrative fees, service charges, and levies imposed at the ports.
He also stated that a government under his leadership will shift from the current heavy reliance on indirect taxes to direct taxes.
“I will ensure a recalibration of the existing tax regime structure to optimize revenue mobilization from direct taxes (personal and corporate), and reduce over-reliance on indirect taxes (import duties, levies, and charges) to make the corporate sector more competitive and profitable.”
On his part, the President of GUTA, Dr. Obeng, mentioned 22 different taxes apart from VAT, adding up to nearly 65% of the value of imports, which he lamented is affecting their progress.
Moreover, over fourteen state agencies operate in the port, as well as various security agencies. This state of affairs drives up the cost of doing business, making businesses move to other ports, and encouraging unethical practices, he said.
Recognising the level of stress and difficulties faced by the Ghanaian business owner, which is ultimately transferred to the customer, Mr. Kyerematen stressed the importance of easing the business environment for traders as a means of improving the livelihoods of ordinary Ghanaians.
“Until government creates an enabling environment for private sector-led growth, the transformation that we so desire will continue to elude us,” he said.
By: Rainbowradioonline.com/Ghana
