Joe Jackson, Chief Executive Officer of Dalex Finance, has raised concerns about how the incoming administration of President-elect John Dramani Mahama will generate the necessary revenue for development if the taxes he promised to abolish are removed.
During a discussion on TV3 on December 13, 2024, Jackson questioned the financial sustainability of Mahama’s promises to eliminate certain taxes. “Let us not be mistaken, in 2025, we have to look at how we are performing in terms of revenue because some of the items are going to go out,” Jackson said, referring to the proposed removal of several taxes, including the e-levy, the COVID levy, the 10% levy on betting, the emissions levy, and import duties on vehicles and equipment for industrial and agricultural purposes.
Mahama had pledged to remove these taxes within his first 100 days in office, arguing that they burdened Ghanaians. However, Jackson highlighted a key concern: “You say you are going to remove tax A, B, C, D. But where is the money going to come from?” He warned that these removals could create significant challenges for the economy and revenue generation.
He further emphasized the enormity of the challenge ahead, acknowledging the difficulty of maintaining government finances without these revenue sources. “There has been a manifesto commitment to take out the e-levy, betting tax, the covid levy. A lot of issues are going to come out, and I have no doubt in my mind that the challenge is going to be huge,” Jackson stated.
When asked why anyone would want to take on the presidency given these looming challenges, Jackson responded pragmatically, saying, “Because somebody has to step up and rule, somebody has to step up and fix the country, somebody has to step up.”
As Mahama prepares to take office, his administration will face the complex task of fulfilling his tax promises while ensuring that the country can sustain development and economic growth.
