Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, is surprised over the government’s decision to increase Value Added Tax (VAT).
The Finance Minister has proposed in the 2023 budget presentation an increment in the Value Added Tax (VAT) by 2.5 per cent.
The standard VAT rate is 12.5%, except for supplies of a wholesaler or retailer of goods, which are taxed at a total flat rate of 3%.
But reacting to the announcement in a Facebook post, the MP said: “Who could ever have imagined or predicted that Nana Addo Dankwa Akufo-Addo who led the fatal 1995 Kumepreko demonstration against the introduction of VAT under President Rawlings which tragically claimed the lives of Ahunu Ahonga & 5 others would today be increasing VAT by 2.5%”.
Meanwhile, government has also announced a reduction of the Electronic Transfer Levy (E-levy) rate from 1.5% to 1%.