Dr Mahamudu Bawumia, the vice president of Ghana and flagbearer of the New Patriotic Party (NPP), has pledged to grant tax amnesty to businesses that have tax arrears if he is given the political mandate in 2024.
This move is aimed at allowing businesses to start afresh and encourage the filing of taxes.
Dr Bawumia made this promise while addressing Ghanaians on Wednesday, February 7. In addition to the tax amnesty, he also stated that his government would introduce a business-friendly flat tax for individuals and businesses, with appropriate tax thresholds to protect the poor.
Furthermore, he assured citizens that these tax regimes would simplify the complicated corporate tax system and Value Added Tax (VAT). The flat tax regime would be a percentage of income for individuals and small and medium-sized enterprises (which constitute 98% of all businesses in Ghana) with appropriate exemption thresholds set to protect the poor.
This announcement by Dr Bawumia is aimed at creating a more supportive environment for businesses and individuals, while also simplifying the tax system in order to encourage more compliance and revenue generation for the government.
If he is given the political mandate in 2024, it is expected that these tax reforms would be implemented to support businesses and individuals in filing their taxes and contribute to the economic development of Ghana.
