Be tough with non-tax compliance companies to address revenue deficits – Courage Boti

Courage Boti companies

Courage Boti, an economist, is advising Dr. Ato Forson, the finance minister, to launch a brutal campaign on companies that fail to pay taxes to the government.

According to Mr. Boti, this is one of the most reliable strategies for addressing issues with mobilization and revenue shortages.

On January 23, 2025, he offered his recommendations on PM Express Business Edition with host George Wiafe.

He said that fixing the tax compliance problem would not force the government to enact new levies or raise existing ones.

“This country already has too many taxes, so there is no need to enact any more to generate the necessary funds to fund government spending,” he stated.

“We can raise the necessary money to solve the low tax-to-GDP ratio and pay the country’s expanding expenditures if we are heavy on compliance in this country,” he continued.

“Considering how the economy is now expanding, compliance is the way to,” he emphasized.

Taxes removed in the 2025 budget

The government may be forced to raise fees and impose new taxes after eliminating the COVID-19 levy, betting tax, and e-ley, according to Mr. Boti’s ideas.

Removing the COVID-19 fee, betting tax, and e-ley might cost the government roughly 10 billion cedis annually.

During his recent vetting in parliament, Finance Minister Dr. Forson reaffirmed the government’s intention to proceed with the tax removal.

By the end of 2024, the Ghana Revenue Authority had collected 153 billion cedis in taxes, 5.2% more than the 145 billion cedis anticipated in 2025.

Mark Badu Aboagye, the CEO of the National Chamber of Commerce and Industry, responded to this by warning that the business community will oppose any additional taxes or levies included in the 2025 budget.

He advocated for a change in the way that most firms do not pay taxes, but a small number of formal sector businesses are required to do so.

Companies want to pay taxes, but not in the way they do now, and we should recognize that. For example, taxing businesses before they begin operations,” he stated.

Leave a Reply

Your email address will not be published. Required fields are marked *