Dr. Mahamudu Bawumia, Vice president has released a list of fifteen Taxes abolished and reduced by President Akufo-Addo administration for the past three years.
According to him, Despite these tax reductions, the data shows that revenue collection in nominal cedi terms has increased by 25% annually since 2017 and In terms of real growth, the average real growth before 2017 (2013 to 2016) was 7.2% while after 2017, it was 8.4%.
Speaking at a Town Hall Meeting and Result Fair in Kumasi, Dr. Bawumia said It is also important to note that the average dollar equivalent of collections pre-2017 was $5.89 billion per annum while post-2017 it has been $7.57 billion per annum.
Below is TAXES REDUCED OR ABOLISHED:
1. Abolished the 17.5% VAT/NHIL on real estates
2. Abolished the 17.5% VAT/NHIL on selected imported medicines, that are not produced locally
3. Abolished the 17.5% VAT/NHIL on financial services
4. Abolished import duty on the importation of spare parts.
5. Abolished 1% special import levy
6. Abolished 17.5% VAT on domestic airline tickets
7. Abolished Levies imposed on Kayayei by local authorities
8. Reduced import duty for all goods excluding vehicles 50% and vehicles by 30%
9. Abolished excise duty on petroleum 10. Provided full corporate tax deduction for private universities who plow back 100% of profits into the university
11. Reduced National Electrification Scheme Levy from 5% to 3%
12. Reduced Public Lighting Levy from 5% to 2%
13. Reduced special petroleum tax rate from 17.5% to 13% and introduced specific rates
14. Replaced the 17.5 VAT/NHIL rate with a flat rate of 3 % for traders
15. Granted Capital Gains Tax Exemption on stocks traded on the Ghana Stock Exchange or publicly held securities approved by the SEC
Source: mybrytfmonline/Kofi Atakora
