Business Community urges govt to introduce tax relief measures in mid-year budget review

Stakeholders in the business community are urging the government to introduce tax relief measures in the upcoming mid-year budget review.

According to Section 28 of the Public Financial Management Act, 2016 (PFMA) Act 921, the Finance Minister, Ken Ofori-Atta, is required by law to present the mid-year budget review to Parliament “not later than six months after the beginning of the financial year.”

The presentation of this year’s midyear budget review has been scheduled for July 27.

The business community is emphasizing the need for the government to address taxation issues and create a conducive environment for businesses to thrive.

In an interview with Citi News, the Chief Executive Officer (CEO) for the Ghana National Chamber of Commerce and Industry, Mark Badu Aboagye, opined that the government must widen the tax net rather than impose taxes on the very few people.

“Let us find more innovative ways to increase revenue without necessarily burdening the private sector and businesses. Increasing your tax revenue is not about introducing new taxes or increasing the rate of existing taxes. It’s about how efficient you are.”

“We have gotten to a level where businesses are at the peak of stress. If you are introducing a new tax, you are in a way killing all the businesses. Let us be efficient in the collection of taxes to improve. The more you increase tax rates, the less your tax revenue,” Mr. Aboagye said.

Source: Citi Business News