The Finance Minister, Dr. Ato Forson, has been encouraged by economist Courage Boti to take firm action against companies who do not fulfill their tax obligations to the government.
“This is one of the surest ways to deal with revenue shortfalls and mobilisation challenges.” Mr Boti said.
On Thursday, he appeared on the Joy news program called “PM Express Business Edition.”
Furthermore, he argued that fixing the tax compliance problem would not force the government to impose new taxes or raise existing ones.
“We have too many taxes in this country and there is no need to introduce a new one to raise the required revenue to support government’s expenditure,” he stated.
“If we are heavy on compliance in this country, we can raise the required revenue to address the low tax to GDP ratio as well as meet the country’s rising expenditure,” he indicated.
But he emphasized that “compliance is the way to looking at how the economy is currently expanding.”
Following concerns that the government could be forced to raise fees and charges and enact new taxes after eliminating the Covid-19 levy, betting tax, and e-ley, Mr. Boti made his ideas.
Eliminating the Covid-19 fee, betting tax, and e-ley might cost the government over GH¢10 billion annually.
During his recent vetting in parliament, Finance Minister Dr. Forson reaffirmed the government’s intention to proceed with the tax removal.
By the end of 2024, the Ghana Revenue Authority had collected GH¢153 billion in taxes, 5.2% more than the GH¢145 billion anticipated for 2025.
Source: newsthemegh.com