Adnan Adams Mohammed
The Importers and Exporters Association of Ghana, is calling for the immediate abolishment of the COVID-19 levy.
The importers and exporters argue that government must completely do away with the Covid -19 levy as well as the Special import levy and the financial recovery levy as they place undue burden on individuals and businesses.
“We cannot compromise that it should become part of government’s revenue target for the year. Government must think about the ordinary Ghanaian suffering at this point in time and should not impose the Covid levy,” Sampson AsakiAwingobit, the Executive Secretary of the Association said in an interview.
“Not only are we requesting for the Covid levy to go off the books but we are also asking that government should also abolish the special import levy and the financial recovery levy. These are levies including the Covid levy that came with sunset clauses that means they have lived their usefulness thus they have to go off the books,” he added.
The Covid-19 Health Recovery Levy is a stand-alone levy applied to the gross value of taxable supplies of goods and services provided under the Standard Rate and VAT Flat Rate Schemes.
Meanwhile, some individuals and operators of small and medium enterprises in Accra are lamenting the negative impact the continuous payment of the Covid-19- Levy, is having on their businesses.
Sharing their thoughts on government’s stance of maintaining the Covid- 19 levy, some said,” it was only unfair but also an exploitation of the already struggling business community by the AkuffoAddo led government and therefore, needs to be scrapped”.
Apparently, the government still wants to raise more revenue through the COVID-19 Health Recovery Levy, despite the end of the pandemic in the country.
While describing the 1% tax as unpopular, President Akufo-Addo emphasized that the government will continue to charge the levy to bridge the fiscal gaps generated by the pandemic while addressing other expenditure challenges.
“The COVID Health Recovery Levy that was introduced to help fill some of the expenditure holes might not be the most popular tax, but I entreat all of you to bear with us”, the President said in his address on Sunday.
The Covid-19 Health Recovery Levy is a stand-alone levy applied to the gross value of taxable supplies of goods and services provided under the Standard Rate and VAT Flat Rate Schemes.
“Let me make it clear that COVID expenditures, essentially unplanned, have been subject, at my instigation, to audit by the Auditor-General, and are going through parliamentary processes. We all deserve to be reassured that the crisis was not used as a cover for corrupt practices”, the President added.
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