You can't squeeze tax out of unemployed people - Kwame Agbodza to GRA

Member of Parliament for Adaklu, Kwame Governs Agbodza, has described as ridiculous the Ghana Revenue Authority's decision to ensure Ghanaians get a tax clearance certificate for the registration of vehicles and renewal of professional driving licences.

He said the revenue collection authority cannot forcibly take the meagre money unemployed people have for tax clearance.

Speaking on the floor of parliament, the Adaklu MP entreated all to reject the move by the government to introduce a tax clearance certificate requirement for the registration of vehicles and the renewal of professional driving licences.

"Mr Speaker, as I speak, there is no GRA office in Adaklu; you are telling me that the trotro operator should look for a GRA office before registering for a driver's licence," he said.

"I agree if the professionals should have tax clearance before they re-register for certificate. It is absurd to ask ordinary Ghanaians to get a tax clearance before obtaining driver's licences, the guy is unemployed, so which tax do you want him to declare? We must all oppose because you can not squeeze tax out of people who are unemployed," Kwame Governs Agbodza stated.

The introduction of the tax clearance certificate requirement was part of a proposal on the Revenue Administration (Amendment) Bill by the Ghana Revenue Authority (GRA).

According to the Ghana Revenue Authority, a tax clearance certificate is issued by the Commissioner General to confirm a taxpayer has met all applicable tax obligations, i.e., filing of returns and payment of taxes, or has satisfactory arrangements for installment payments for arrears with the GRA at the date of issuance.

The Ghana Revenue Authority has now moved from issuing physical TCCs to Electronic Tax Clearance Certificates (E-TCC) to fasten the tax payment process.



ESA/BOG