Government must discontinue the 15%VAT on the electricity and widen the tax net to raise more revenue than to over burden workers who are already suffering from high cost of living.
The Deputy Secretary General Joshua Ansah said this on Adekyee Mu Nsem morning show on Ahotor 92.3 FM hosted by Citizen Kofi Owusu in Accra. He is of the view that, members of the Trade Union Congress have already come out with a road map, starting from today with a red band and leading to the 13th of February for the nationwide strike.
In another development the New Patriotic Party’s (NPP) official X account formerly Twitter has shared a news report, indicating that Cabinet has reportedly dropped the 15 percent VAT on electricity.
However, there has been no official statement from government sources regarding this matter at the moment. Government spokespersons have remained tight-lipped on the issue.
Going forward, the government will engage the International Monetary Fund (IMF) before any decision is reached.
This comes a few days after the ruling New Patriotic Party, National Organizer Henry Nana Boakye criticized the government for introducing a tax that will exacerbate the cost of living crisis for Ghanaians.
He further explained that “I’m the National Organizer of my party. I listen to my people… this must be withdrawn in addition to the VAT on electricity.”
Meanwhile, the Trade Union Congress and other Labour Unions have planned a nationwide demonstration on February 13, 2024, urging the government to withdraw the directive to implement the 15% VAT on residential electricity consumption.
The Ghana Union of Traders Association (GUTA) has also kicked against the implementation of the proposed Value Added Tax on electricity arguing the taxes will have an adverse economic impact on businesses.
AYM Kukah. E:mail:kukahalexander7@gmail.com
