A small group of lawmakers have questioned President Nana Addo Dankwa Akufo- Addo’s moral authority to raise Value Added Tax (VAT) by 2.5%.
The Minority Leader in Parliament reportedly questioned why President Akufo-Addo, who led the Kumepreko rally in 1995 to voice his opposition to economic suffering, now imposes more levies on Ghanaians.
He emphasized that the market price of products and services will automatically increase as a result of the 2.5% increase in VAT.
This will cause further suffering for Ghanaians during the current economic downturn, he claimed.
Addressing journalists on Monday, December 5, 2022, Haruna Iddrisu said, ” whilst whittling away the little we have as a country in this intransigent manner, the Akufo-Addo/Bawumia government has decided to pile more hardships on the people of Ghana through the introduction of more taxes in the 2023 Budget presented to Parliament. What moral right does President Akufo-Addo have to increase VAT by 2.5% when he led the “KUMI PREKO” demonstration in 1995 resulting in the loss of five lives?”
“As sure as night follows day, this will worsen the hardship faced by Ghanaians, as the prices of almost all items will increase instantaneously once this tax comes into effect,” he added.
Haruna Iddrisu further said the Minority in Parliament have detected 22 additional tax and revenue measures in the 2023 budget read in parliament by the Minister of Finance, Ken Ofori-Atta.
The additional taxes, he bemoaned, will make life more unbearable for Ghanaians.
“At a time when people are facing the worst economic crisis and hardships in their lifetime, the last thing that is desired is further taxation,” he said.
Government, on Thursday, November 24, 2022, announced an increment in Value Added Tax (VAT) by 2.5 percent for consumers of goods and services.
The move, according to government is expected to improve its domestic revenue measures while seeking to reach an IMF deal to restore macroeconomic stability.
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