Ghana Parliament passes 3 revenue bills

The Parliament of Ghana has passed three revenue bills to supplement the country’s domestic revenue generation.

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

The house on Friday, March 31, before it rose for recess for the Ester break  passed the bills seeking to raise GH¢4 billion per year by a 136-137 majority decision.

The amended Bills

The Income Tax Amendment Bill 2022 amended the Income Tax Act 2015(Act 896) to revise the rate of income tax for individuals and introduce an additional income bracket, a withholding tax rate on the realization of asset and liabilities, winning from lottery and unify the loss carried forward provisions and revise the treatment of foreign exchange losses.

The amendment sighted by GhanaPlus.com also increased the optional rate for individuals on the gain from the realization of an investment asset, revise the upper limits for the quantification of motor vehicle benefits and increase the concessional income tax rates.

The Excise Duty Amendment Bill amended the Excise Act 2015(878) to introduce among others 20per cent from the 17.5 per cent duty on non-alcoholic sweetened beverages, a 20per cent on water, 45 per cent on wines including sparkling wines and 50 percent on spirit, all at ex-factory price.

The amendment will see revise excise tax rates for cigarettes and other tobacco products to conform with the Economic Community of West African States (ECOWAS) Protocols and raise revenue to mitigate the harm caused by the products.

The Growth and Sustainability Amendment Bill on the other hand is imposing a levy on profit before tax of companies and institutions and on production in the mining and upstream oil and gas sector.

The Minister of Finance, Mr Ken Ofori-Atta prior to the approval appealed to Parliament to pass the bills to facilitate the country’s negotiations with the International Monetary Fund for a bail out.

Source: GhanaPlus.com