Business News Fri, 28 Jun 2019

Government to review luxury vehicle tax in Mid-Year budget

The Ministry of Finance has announced plans to review the luxury vehicle tax introduced in the 2018/2019 national budget.

Under the law, vehicles with engine capacity above 3.0 are charged fees ranging from 1000 cedis and above.

The law has been criticized by car dealers and vehicle importers, arguing that it has increased their cost of doing business.

Speaking at a press briefing, Finance Minister Ken Ofori-Atta assured that government has listened to the concerns of Ghanaians and will make changes to the law in the mid-year budget review scheduled for next month [July].

“We have received quite a bit of feedback from the implementation of the luxury vehicle tax. We did go through a lot of stakeholder discussions before that occurred. We are almost coming to a year of implementation and looking at how we will review it so that concerns are taken care of,” he stressed.

Mr. Ofori-Atta explained that government is looking at the effectiveness of the law to help achieve its revenue mobilization target.

Even though the minister did not disclose the form in which the review will take, he maintained that significance changes will be made to the law.

Source: citibusinessnews.com
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