The hard part: finding ways to convince millions of untaxed people in Ghana to contribute to the national kitty.
Only 8.2% of working Ghanaians pay income tax according to Ofori-Atta, who is developing ‘burden sharing’ strategies to pull the rest in.
“Only 2,364,348 are bearing the burden of the entire population as taxpayers as of August 2021. This is a trend that needs to be addressed to build a more equitable society,” the finance minister said while presenting the 2022 budget to parliament in December.
The low tax-to-GDP ratio of the country makes it hard to finance the country’s developmental agenda.
In the face of limited access to the international financial market, a proposed 1.75% electronic financial transaction levy (the E-levy) is the government’s first tool to bring in the informal sector.
“The essence of our proposal on the E-levy is to widen the tax net and generate the
There's more to this story
Get unlimited access to our exclusive journalism and features today. Our award-winning team of correspondents and editors report from over 54 African countries, from Cape Town to Cairo, from Abidjan to Abuja to Addis Ababa. Africa. Unlocked.
Already a a subscriber Sign In