The Minority in Parliament has raised alarm over the government’s granting of tax exemptions to companies, expressing concerns about potential corruption.
In a statement signed by Minority Leader Dr. Cassiel Ato Forson, the Minority emphasized that individuals accustomed to benefiting from corruption are now focusing on tax revenue to satisfy their greed.
“We shall give support to these requests only on condition that any company that seeks tax waiver or exemption shall cede commensurate equity stake in their investment projects or business to the State in accordance with section 14(3) and section 15 of the Exemptions Act, 2022 (Act 1083),” Minority stated…
The statement outlined a condition for supporting tax waiver requests: companies seeking exemptions must cede a corresponding equity stake in their investment projects or businesses to the State, following the provisions of the Exemptions Act, 2022 (Act 1083).
The Minority highlighted the alarming trend of tax exemptions becoming a channel for corruption, posing a threat to ongoing domestic revenue reforms.
Amidst the government’s efforts to generate around GHS11 billion through new tax measures outlined in the 2024 budget, the Minority expressed concern about the potential negative impact on the poor, industries, and businesses, exacerbating the hardships faced by Ghanaians.
The lawmakers accused the government of imposing taxes on Ghanaians while granting substantial tax exemptions to its allies in exchange for kickbacks, calling on all Ghanaians to join them in opposing this practice.
“As we speak, government is seeking to rake in some GHS11 billion from a plethora of new tax measures it has outlined in the 2024 budget. The effect of these new taxes will result in the poor becoming poorer, suffocating industries and businesses, and further increasing the hardships Ghanaians are already experiencing.
“This government is simply robbing Peter to pay Paul by exacting taxes from Ghanaians, only to dole out huge tax exemptions to their cronies for kickbacks. It is for this reason that we call on all Ghanaians to join us in this fight,” National Democratic Congress (NDC) lawmakers added.