The administration of President Nana Addo Dankwa Akufo-Addo has imposed fifty new levies since assuming office in 2017.
Dr. Cassiel Ato Forson, the Minority Leader in the Ghanaian Parliament, brought attention to this information.
He said that these tax policies go against the government’s earlier pledge to move from a tax-based to a production-based economy by adding more hardship to enterprises and impoverished Ghanaians.
Entrepreneurs, economists, and policymakers are alarmed by this newly implemented tax phenomenon, which has prompted a critical analysis of the underlying causes and their consequences for the future of the nation’s economy.
Here are some of the notable taxes Nana Addo introduced since 2017:
- 3% VAT Flat Rate
- 5% increase in VAT by making GETFund and NHIL levies straight taxes
- 25% increase in corporate tax
- 2% Special Import Levy
- 1% COVID-19 Health Recovery Levy on the 3% VAT flat rate
- 5% National Fiscal Stabilisation Levy
- Financial Sector Cleanup Levy – 5% on profits of banks
- 20 pesewas levy on a liter of petrol/diesel
- 10 pesewas Sanitation Levy on a liter of petrol/diesel
- 18 pesewas levy on LPG
- Luxury vehicle tax
- 50% increase in Communication Service Tax
- 30% increase in Energy Sector Levy
- 11% increase in Special Petroleum Tax
- 200% increase in BOST margin
- 40% increase in Price Stabilization & Recovery Levy
- 10% withholding tax on betting, lottery, etc.
- 20% tax on betting companies
- 35% increase in Income Tax for high earners
- 3% & 10% withholding tax on realization of assets and liabilities
- 25% increase in tax on gifts and gains
- Profit before tax levy on companies
- 5% tax on companies declaring losses
- 1.5% Electronic Transfer Levy (E-Levy)
- 1.75% tax on bank transfers
- 1.75% tax on remittances
- 15% increase in government fees
- 35% increase in corporate tax on mining companies
- 22% corporate tax on hotels
- Excise duty on cars, motorbikes, etc.
- 1% stamp tax
- 35% payroll tax (PAYE)
- Customs and Excise duties on sachet water, bottled water, malt drinks, beers, wines, spirits, cigars, plastic products, textiles, etc.
- Growth and Sustainability Levy
- Excise Duty Amendment Bill 2022
- Ghana Revenue Authority Bill 2022
- Income Tax Amendment Bill 2022
- New Income Tax for Lottery, Betting & Games of Chance
- Withholding Tax on Winnings from Betting, Lottery & Games of Chance
- Increased Marginal Income Tax Rate for Individuals
- Foreign Exchange (FX) Loss Deductibility Restrictions
- New Tax Return for Realisation of Assets & Liabilities
- Pension-Related Tax Exemption for Early Withdrawals
- Changes in Motor Vehicle Benefit for Employees
- Road Fund Levy Increase
- Excise duty on sachet water, bottled water, malt drinks, beers, wines, spirits, cigars, plastic products, textiles, etc.
- Excise Duty Review
- Excise Tax Stamps on products
- Unified Loss Carry Forward Position
- Foreign Exchange (FX) Loss Deductibility Restrictions
