Gov’t To Sanction Tax Stamp Defaulters

The Ministry of Finance has threatened to sanction businesses who fail to comply with the March, 2018 implementation of the tax stamp policy.

In a statement signed by the Deputy Minister of Finance on Wednesday, Mr. Kwaku Kwarteng urged manufacturers and importers of cigarettes and other tobacco products, beverages and water to affix Ghana Revenue Authority (GRA) stamps on their products from March 1, before they are allowed onto the market.

He said “eligible businesses are respectfully advised to comply with the 1st March 2018 deadline or risk prescribed sanctions under the law.”

According to him, this would help government identify fake and counterfeit goods and strengthen effort to fight the smuggling of these items into the country.

The Excise stamp Act, 2013 (Act 873) passed by Parliament in 2013, places responsibility on manufacturers and importers to minimize the under-declaration of sales and import volumes.

Government announced its intention to enforce the Act on August 31, 2017, to give eligible businesses enough time to prepare towards compliance

However, despite concerns expressed by the Food and Beverage Association of Ghana (FBAG) about the enforcement of the Excise Tax Stamp Act, 2013 (Act 873), the Ministry of Finance says it will enforce the Act from Thursday, March 1.

According to the statement, “since January 1, 2018, businesses have been entitled to free tax stamps and free affixing of stamps at the ports and it will be so for six (6) months. Further, the government has passed a law to grant businesses accelerated capital allowance on the cost of procuring affixing machines.”

“While the government has taken these and other steps to facilitate the affixing of the tax stamps to products, the responsibility for doing so rests squarely with the manufacturers and importers of those products.”

It further stated that eligible businesses are free to use any means of their own choice to affix the prescribed stamps to their products and at the lowest cost to their operations.

The statement also commended manufacturers and importers who have already acquired the stamps and have affixed them to their products.

By: Emmanuel Yeboah Britwum/ [email protected]