In a statement issued by the Ghana Revenue Authority (GRA) it said that this particular tax will affect cars with engine capacity above 2950.

Below are the amounts to be paid;

• Engine capacity of 2950 to 3549 capacity will pay GHS1, 000.

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• Engine capacity of 3550 to 4049 will pay GHS1, 500.

• Engine capacity above 4049 will pay GHS2, 000.

The luxury vehicle tax was announced when the Finance Minister presented the 2018 mid-year budget review to Parliament.

He explained that the government intends to improve revenue mobilization through the policy.

Meanwhile, the government is expected to raise about GHS300 million from the taxes on luxury vehicles.