Adongo shoots down Bawumia’s tax amnesty initiative; says it is dead on arrival
Isaac Adongo, the Ranking Member on Parliament’s Finance Committee, has described the Vice President’s tax amnesty for businesses as a populist approach and a dead on arrival initiative.
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The Bolgatanga Central Member of Parliament says tax amnesty is already a compliance approach used by the Ghana Revenue Authority (GRA) to trap tax evaders into the tax net, and not something that is used for political populism.
He explains the New Patriotic Party’s flag bearer has already tried the initiative three times since the NPP government took over but has failed in all, due to the numerous taxes being introduced by the government which disincentivises businesses.
“Tax Amnesty is a compliance approach used by the Ghana Revenue Authority and not something Bawumia should have used as a campaign promise. It is a trap. He has done this three times and failed because after seeing the tax evaders, he added more taxes which became a disincentive,” he told Captain Smart on Onua TV’s Maakye Thursday, March 21, 2023.
The lawmaker’s comments is in relation to the Vice President’s promise to offer a tax free system for businesses in his first year of retaining the seat for the NPP.
The Vice President has assured businesses of tax amnesty in 2025 if he wins the December 2024 presidential elections. According to him, the country’s current tax structure is not fit for purpose, and he therefore wants the tax system to change.
He argues it’s about time Ghana becomes competitive like other countries like Estonia. He made this known at an engagement with the Ghana National Chamber of Commerce and Industry.
“In 2025, we are going to grant a tax amnesty to all businesses and individuals and start afresh. We are going to start a new system – a flat tax system; so we are going to wipe the slate clean for every individual and every business and Ghana is going to start a new tax system – a flat tax system as we have in Estonia.
“In addition, we are going to do faceless audits. Officials should not come to businesses to do audits. With the digital framework, we should have the information and audit facelessly,” he added.
Speaking on the Bawumia’s driver’s mate brouhaha, the member on Parliament’s Trade and Industry Committee indicated that the Constitution protects the Vice President’s job security unlike the driver’s mate who can be sacked anytime by his boss.
He explained that just as John Mahama went to work one day as Vice President and returned as President shows how the position of a Vice President requires a qualification as equal as a President and not something that should be compared to Bawumia’s analogy.
“A mate can be sacked by the driver anytime but as a Vice President, because the Constitution protects you, even the President cannot sack you. You are not his appointee to even become his mate. It is just that you (Bawumia) learnt from a bogus driver,” he asserted.
