Benchmark Value Tax Affecting Our Business…Spare Parts Dealers Lament

A group calling itself Concerned Spare parts Dealers Association at Abossey Okai, has expressed dissatisfaction about sales in 2017.

According to them, the increase in benchmark values by the Ghana Revenue Authority (GRA), and exchange rates eroded their profit margins last year, leaving many of them to operate at a loss.

In an interview with the PUBLISHER, the Chairman of the group, Mr. Kwabena Adjei said although government scrapped the one percent special import levy last year, they were compelled to pay higher benchmark values at the ports.

He also hinted that their goods were not patronized as compared to the previous years.

“Our goods have been hoarded in warehouses because no one is buying. Due to this we no longer buy from importers”, he stressed.

They believe things can get better this year, and have therefore appealed to government to call on the GRA to decrease the benchmark values.

The Ghana Revenue Authority recently rejected spare part dealers high tax claims, stating that the tax has been canceled since 2015, with the implementation of the single window platform.

However, the group has expressed dissatisfaction to their claims.

According to them, “GRA has introduced something called the benchmark value.  With this we are made to pay huge sums of money at the ports. Clearing of Car battery 20ft container first cost GH¢40, 000 but now we are being charged GH¢60, 000, shock absorber full container also cost GH¢16,850 but now we are being charged GH¢18,900 at the ports.”

Touching on the exchange rate, Vice President, Dr. Bawumia is recalled to have said last year that government has succeeded in arresting the dollar.

However, the Chairman of the group said they are suffocating under unstable exchange rates.

“We think Bawumia has gone to sleep. He has done nothing to stabilize the dollar. We don’t want to stand against government so we are pleading that they should come to our aide”

The traders have however threatened to increase the prices of their goods if government does not intervene in what they describe as increases benchmark value charges at the ports.

By: Emmanuel Yeboah Britwum/ thePublisher