Stakeholders in the real estate sector are expressing concern over the government’s reinstatement of a 17.5 percent Value Added Tax (VAT) on the sale of immovable properties.
They contend that the tax is stifling sector growth and criticize the lack of consultation before its reimplementation.
They are urging the government to eliminate the tax, aligning with its promise to avoid new taxes in the mid-year budget review set for Tuesday, July 23.
The Executive Secretary of the Ghana Real Estate Developers’ Association (GREDA), Samuel Amegayibor, stated:
“They never engaged us. All of a sudden, there is a directive that the tax should be implemented, and then they have gone ahead to develop guidelines without a major stakeholder like GREDA.
“So how do you expect us to be your agent of tax collection and you don’t involve us in the guidelines, and then you just snap on us? I was surprised. I saw a copy of this guideline just last night. ”
He added: “As the Executive Secretary of GREDA, I have not seen what my sector is supposed to help implement for the government to make revenue. Then what are we doing? I think these are some of the things that we are talking about.