Government introduces amended bills to boost revenue mobilization

Government presents three revenue measures to Parliament aimed at revamping domestic revenue mobilization.

The bills include the Income Tax Amendment Bill, the Excise Duty Amendment Bill, and the Growth and Sustainability Amendment Bill.

Once passed, the bills are expected to generate about GH¢4 billion annually. The Income Tax Amendment Bill is expected to bring in GH¢1.2 billion annually and would continue to exempt those earning minimum wage from paying tax.

However, the bill would alter the way foreign exchange losses are treated in financial statements. The Excise Duty Amendment Bill would impose a 20% tax on e-smoking and fruit juices, and would also generate an additional GH¢400 million annually.

The Growth and Sustainability Amendment Bill would replace the National Fiscal Stabilization Levy and is expected to generate about GH¢2.2 billion annually. The measures are critical to securing approval from the International Monetary Fund (IMF) Board for Ghana's $3 billion bailout deal.

The government is hopeful that the country will be on the agenda shortly after the passage of the measures. The Finance Ministry also reported that progress has been made on the restructuring of the country's local and external debts, with a positive outlook for speedy completion.