The Finance Minister Seth Terkper has warned against popular calls for the scrapping of some new taxes introduced by the government, saying the country will lose about GHS1billion if those taxes are scrapped.
Dispelling accusations that he is tax-happy, he explained that the taxes being implemented by government were necessary to restructure the tax base to correspond with global business changes.
Nonetheless, he stated that government will remove some of the taxes gradually from 2017.
“Currently the largest exemption we have is on imports,” said Terkper on Monday on Morning Starr with host Nii Arday Clegg.
He explained that: “Ghana has one of the most liberal tax laws. We have never taxed the Stock Exchange. We have one of the most liberal incentive regimes. We had to review the tax regime to respond to current trends. We just do not love taxing”.
He, however, cautioned that too many tax exemptions will not inure to the benefit of the country.
He said the fact that some African countries are giving tax exemption does not mean Ghana must do same as different dynamics govern different economies.
“We should be careful in exempting too many taxes when it doesn’t benefit the nation. Nigeria, for instance, exports over two million barrels of oil daily and so the dynamics are different from country to country,” he said.