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Dr. Mahamudu Bawumia, the Vice President and NPP Flagbearer, claims that if he is elected President, Ghana will have a new, “friendly” flat tax system.
The NPP flagbearer gave a speech to the people on Wednesday, February 7, 2024, in Accra, outlining his vision and priorities for Ghana. He stated that in order to support businesses, particularly small and medium-sized enterprises (SMEs), which he claimed make up the majority of the country’s business community, it is necessary to reform the tax code to their benefit and to encourage the payment of the new, friendly taxes, which will increase the country’s coffers.
“My administration will introduce a very simple, citizen and business-friendly flat tax regime. A flat tax of a percentage of income for individuals and SMEs, which constitute 98% of all businesses in Ghana, with appropriate exemption thresholds set to protect the poor,” Dr Bawumia stated.
Dr. Bawumia added that tax returns ought to be finished in a matter of minutes thanks to digital changes that will facilitate online tax filing.
“With the new tax regime, the tax return should be completed in minutes! We will also simplify our complicated corporate tax system and VAT regime.”
Dr. Bawumia added, “My government will provide a tax amnesty, i.e. a complete exemption from the payment of taxes for a specified period and the waiving of interest and penalties, up to a certain year, to individuals and businesses for failures to file taxes in previous years so that everyone will start afresh.” This is done to ensure that the new tax system gains a fresh start.
“Tax digitalisation will be implemented across all aspects of tax administration. Everyone will be required to file a very simple tax return electronically through their mobile phone or computer. There will be no manual or paper filing of taxes from 2025. Faceless assessments will provide transparency and accountability,” Bawumia stated.
Source: Ghanatodayonline.com
