Pulse logo
Pulse Region

Cost of doing business to increase as 3 new taxes take effect May 1

President of the Ghana Union of Traders Association (GUTA), Dr Joseph Obeng has opined that the cost of doing business will go up following the introduction and implementation of the three new and revised taxes.
President of GUTA, Dr. Joseph Obeng
President of GUTA, Dr. Joseph Obeng

In an interview with Joy News, he said, the recently passed tax will affect businesses immensely.

The business that we do, we do not do in isolation, we do with the consuming public so whatever affects the business community the rippling effect goes to the consumer. As a matter of fact, it’s a cycle, whatever target is being enjoyed by one will be given to the end user and this is what is going to happen.

“So I can foresee that it’s going to compound the inflation that we are even experiencing, and the plight of the consuming public,” he explained 

The GUTA President further noted that the Excise Duty and the Income Tax Amendment Acts that have been passed will compel members to pass on the cost incurred from the taxes to consumers.

He also expressed his disappointment in the government for consenting to the tax bills and not heeding the Association’s calls to suspend their implementation.

The Excise Duty and the Income Tax Amendment Acts that were passed by Parliament become effective from Monday, May 1.

 These two taxes were passed by Parliament together with the Growth and Sustainability Act despite fierce resistance by the Minority in Parliament and the business community.

According to an implementation guideline published by the Ghana Revenue Authority, companies have been given up to the end of this month to configure their systems to accommodate the implementation of these taxes.

Next Article