The Food and Beverages Association of Ghana (FABAG) has said that the new taxes passed by President Akufo-Addo would collapse businesses.
The association noted that the President’s assent contradicts its policy of 1D1F.
The concerns follow the introduction of three new tax bills namely, the Excise Duty Amendment Bill 2022, the Growth and Sustainability Levy Bill, 2022, the Ghana Revenue Authority Bill 2022 and the Income Tax Amendment Bill 2022.
Speaking in an interview, the Executive Chairman of the Food and Beverages Association, John Awuni said “this is very disappointing because a death warrant has been signed for firms. I will also say it’s a complete contradiction of the mantra of the government on 1D1F.”
In his view, government has shot itself in the foot because you can’t say you are prompting industry and then come out with taxes that will kill the industry.
He added that the design of the tax system does not allow for growth of industries in Ghana.
“Nothing has changed and when we talk about promoting industry, you come in with this whole array of taxes that are basically killer, it is shocking,” he said while adding that these taxes may become like those passed in the past but were not implemented.
Mr. Awuni was however, hopeful that the President will heed to the cry of industry and the ordinary Ghanaians in respect of the ‘killer’ taxes especially in these difficult times.