Founder and President of IMANI Africa, Franklin Cudjoe, has criticized the government for maintaining the COVID-19 levy despite widespread appeals from the business community for its removal.
The government maintains that the levy is essential for managing the ongoing financial repercussions of the pandemic.
Prior to the mid-year budget review, the business community urged the removal of various redundant taxes, including the COVID-19 levy. Nevertheless, the government has justified its decision to keep the levy in place.
Abena Osei-Asare, Minister of State at the Finance Ministry, explained to the Public Accounts Committee of Parliament on Wednesday that although the immediate threat of COVID-19 has lessened, the financial impacts continue.
In an interview with Selom Adonoo on Big Issue on Channel One TV, Mr. Cudjoe emphasized the burden that taxes impose on Ghanaians and called on the Akufo-Addo administration to promptly abolish the COVID-19 levy.
He also criticized the lack of infrastructure development despite the government collecting numerous taxes.
“Look at the haemorrhage we have been experiencing in terms of the way taxes received are wasted. So, there’s a certain anomaly to think that it’s only the government that can deliver development to persons and individuals. I’m not too sure that we should be conceptualising the essence of government…
In the face of the wanton distraction that has happened to COVID-19 money, you recall that there was a special audit done for all COVID-19 received funds.
“I disagree fundamentally with the purposes of taxation, yes, some amount of taxation should go to the government for driving infrastructural-related purposes. Even then, we should have the private sector being part of it…
I have a challenge with the COVID-19 tax and I think it is important that even though we are under economic challenges, largely imposed by our own doing. This whole conversation about COVID-19 tax is quite unnerving.”