The Western Regional Branch of Ghana Chamber of Commerce has orgnised a session to educate its members on the new tax policies on the 2021 budget statement to help members of the Chamber in running of their businesses through appreciation of the New Tax policies.
The session forms part of the activities in the just ended periodic meeting of the Chamber which sought to inform members of the Chamber on planned programmes and activities of the association.
The forum also provided an avenue to discuss and address challenges facing the members.
Mr. Michael Boateng Boateng, a tax expert from KPMG through a zoom conversation educated members on the introduction of three major Taxes and the amendment of two already existing Tax components on 29th May at Akroma Plaza, Takoradi.
He advised business enterprises to ensure that they are well positioned to make the right decision to benefit from government tax relieves as well make good business
“I urge all of you to file for your tax returns and pay any outstanding debt to stand the chance of benefiting from government tax rebate”
The 2021 budget introduced three new tax policies which include Covid-19 Health Recovery Levy Act, 2021 (Act 1068), Penalty and Interest Waiver Act 2021 (Act 1065) and Financial Sector Recovery Levy Act, (Act 1067).
There are other two which have been amended that is Energy Sector Levy (Amendment) Act, 2021 (Act 1064) and Income Tax (Amendment) Act, 2021 (Act 1066).
According to the Western Regional Chairman of the Chamber, Mr. Maxwell Archer, the program will go a long way to help members to appreciate the current business environment and make the right business decision. The
“The Chamber will continue to serve as a Hub that provides the necessary information for its members to make the right business decision, today’s session will enhance our members understanding of the New Tax Policy.
He added that GNCCI is an advocacy organization established with the prime objective of promoting and protecting commercial and industrial interests in the country.
“The Chamber represents the voice of the business community with total commitment to playing a leadership role towards propelling Ghana’s economy to higher heights”.
“We serve as a link between established businesses, the emerging sector, and government at the various levels while offering our members a myriad of business support services, he stated.”
Meanwhile the president also hinted of GNCCI preparedness to ensure that language of communication during subsequent session will not be a challenge to any member to ensure effective communication. To this end the presentation would be interpreted in a local dialect to benefit all and sundry.
The President entreated members to participate fully in all programs which the chamber organizes.
He further mentioned there are plans of working to link up the SME’s with the big companies in the Country. Also, there are discussions with some banks to solicit for loans for its members to support their businesses.
Mr. Maxwell Acher informed members that a five year strategic plan has been adopted at the National Level and it will be circulated to members.
New Tax Policies 2021
Under the Penalty and Interest Waiver Act 2021 (Act 1065), is a waiver of penalties and interests on accumulated tax arrears up to December 2020 for persons who make arrangements to pay the principal tax.
The application for the waiver can be done from 1st April to September 2021; the period of payment of the waiver lasts until 31st December 2021. The waiver does not apply to payments and returns due from 1st January 2021 under an enactment administered by the Commissioner-General
On COVID-19 Health Recovery Levy Act, 2021 (Act 1068), the Act imposes a one percent levy on the supply of goods and services made in the country other than exempt goods or services; Import of goods and services other than exempt imports.
The Levy also applies to the supply of goods subject to the VAT Flat Rate.
The COVID-19 Health Recovery Levy is not allowable as an input tax deduction.
With regards to the Income Tax (Amendment) Act, 2021 (Act 1066), the Act amends the Sixth schedule to the Income Tax Act 2015 and provides for a 30% rebate of income tax due for the second, third, and fourth quarters of 2021 for taxpayers in the following areas – accommodation and food, education, travel and tours, and arts and entertainment sectors.
A suspension of quarterly income tax installment payments for the second, third and fourth quarters of 2021 by self-employed persons applying the Income-tax stamp system and owners of taxis and trotros under the Vehicle Income Tax (VIT) system.
Story by Kwame Offei
