Effective
Tax collection is very crucial as it generates revenue for the smooth and rapid
administration of every country. Unfortunately, due to poor tax education,
ineffective tax laws ignorance and corruption, Ghana loses a lot of revenue for
her development.
It is against this backdrop that the Upper East Regional Tax Justice Coalition (TJC),
an advocacy Organization has called on government to take steps to review the
current tax system to expand the tax net to rake more revenue for national development.
The Coalition said taxation was the major
source of funding for the country’s development projects, however about 90
percent of the potential taxpayers were left out of the tax net leading to low
mobilization of resources for national development.
This has therefore
compelled the Ghana to depend on external aid to finance most of the country’s
project including roads, schools, hospitals and social amenities among others.
The
Coalition made the called during a stakeholder workshop in Bolgatanga,
organized the Rural Initiative for Self-Empowerment Ghana (RISE-Ghana), a
Non-Governmental Organization ((NGO) with funding from Action Aid Ghana,
another NGO.
The aim of the workshop was to build the capacities of Civil
Society Organizations, NGOs, business owners, media among other stakeholders to
enable them engage in evidence based tax justice advocacy and support local
revenue mobilization efforts.
It was under the themes, “addressing policy
challenges and regulatory loopholes to improve tax compliance in Ghana: what
role can state and non-state actors play and “taxation: taxpayer’s role and
responsibilities and the need to for compliance”.
The
workshop brought together, representatives Civil Society Organization,
Government Agencies and Departments, the media and market women.
Speaking to
Radio Ghana, the Executive Director of Rise Ghana a Non-Governmental
Organization Mr. Awal Ahmed Kariyamah and a member of the Tax Justice Coalition
(TJC), explained that, the coalition is made up of different civil society
groups, media and other informal actors group who are concern about the fact
that the tax system needs to be fair and just, so that the more taxes collected
are responsive to the the needs of the people and based on their income levels.
Mr. Ahmed stated further that, the aim of the workshop was to dialog with all
the stakeholders and GRA to see how best they can support government to be able
to mobilized the necessary revenue as well as how government can have equitable
and just tax system, so that the collection and processing should not be a
burden to the tax-payer.
He indicated that the coalition is looking at about 70
percent of Ghana’s educational needs are going to be supported by sourcing for
external funding (borrowing), the same is talked off in our health sector.
These
external borrowing come with conditions and is such huge a debt to be borne by
generation yet unborn. Mr. Ahmed emphasized that if the tax system is well
handled, it will rake enough revenue to achieve the much talked about of the
Ghana Beyond Aid agender.
The Acting Office Manager of the Ghana Revenue
Authority (GRA) of the Domestic Tax Revenue Division, Bolga Small Tax-payer
Office Mr. Yussif Musah Braimah took participants through the establishment of
GRA indicated that, the Tax Act, Act (791) of 2009 mandate every Ghanaian of
his or her tax obligation to pay as such and in default sanctions can be
applied under the Revenue Administrative Act of 2016, Act (915)
Mr. Braimah
schooled participants on the role of GRA, divisions of the tax system, the
various types of taxes that exist, their rates and mode of payments.
He advised
that every Ghanaian to demand for a receipt of any taxable item purchased in
order to help mobilized revenue for the nation building.