Finance Minister designate, Seth Tekpeh
The Charted Institute of Taxation Ghana wants Finance Minister designate, Seth Tekper take immediate steps to initiate reforms in Ghana’s tax system.
The Institute has raised concerns over the implementation of the tax regime that has a few individuals and organizations paying taxes.
The President of the Charted Institute of Taxation, Mike Aflu told Citi Business News
, the Ministry should focus attention on income related taxes, which are the direct taxes.
According to him, Ghana must quickly move into a regime that ensures majority pays taxes.
“We have the income tax, we have the capital gains tax, we have various forms of taxes before we have vat being the indirect tax and over the years, apart from the income tax, most of the other laws like the capital gains tax, the gift tax and others have not really been tested or used.”
He explained that these laws regulating the taxes have not been used because “most of the clauses in there are not really workable.
We need to find tune in all these and make sure that they become practicable.”
Aflu suggested that “it is not a question of taxing more, it’s a question of making sure that there is equity in our tax system so that everybody that is liable to tax must be able to contribute his or her quota.”
The Institute however believes the solid tax background of Mr.
Seth Tekper if confirmed as Finance Minister will be key to ensuring the reforms are finally executed.
“He has worked with the International Monetary Fund (IMF), in tax administration, he has also written a tax handbook which covers almost every area of VAT; a very, very experienced man when it comes to tax.
Taxation is the base for revenue mobilization.
Without taxation, government revenue cannot be made so we see his competency and his knowledge as something that will be a great asset to this country.”
By: Nana Boakye-Yiadom/citifmonline.com/Ghana