Increase in taxes at ports counter productive-Economist
Economist, and CEO at the Institute of Certified Economists Ghana, Gideon Amissah has charged government to consider new ways of generating revenue at the ports since the imposition of high taxes will be counterproductive.
He warned that imposing taxes at the ports without engaging the main stakeholders could rather cause government to lose a lot of money.
His complains come after stakeholders at the ports raised alarm on increases in import duties.
He stated that it appears there are some attempts to increase taxes at the ports without the consultation of stakeholders.
“Though we were giving some assurance, the economy will be built on production or productivity. It appears that currently, government is relying on taxation to mobilize revenue. We don’t think that going forward, we would have to be depending so much on taxation to expand revenue” he said.
Already, key stakeholders at ports have pointed out that, a cursory observation of taxes at the ports in recent times, indicate a jump in the charges.
Meanwhile, the Poultry Farmers Association, Mobile Phone Dealers Association, as well as the Electrical Dealers Association have all in recent times complained about a 17.5 percent and 20 percent VAT increase at the ports without notification from government.
Mr. Amissah warned that the decision to increases taxes at the ports may not yield the needed results if the key stakeholders are not engaged.
“It is about time maybe government would have to consider non tax revenue as a way of expanding the revenue base” he stressed.