Some players in the hospitality industry in the Cape Coast metropolis are calling for tax reverse from government to reduce cost to their facilities instead of benefitting from the GHS600million stimulus package.
As concerns grow around the spread of the novel coronavirus, the hospitality Industry within the metropolis is raising alarm about its survival.
Government believes the launch of the Coronavirus Alleviation Programme Business Support scheme (CAP BuSS) to mitigate the impact of the coronavirus pandemic on Small and Medium sized Enterprises (SMEs) and various industries in the country including the hospitality industry will resuscitate the country’s affected industries.
However, some hotel operators in Cape Coast claim they will desist from taking the soft-loans under the GHC 600 million stimulus package due to low patronage of their facilities.
Supervisor of Samrit Hotel, Kenneth Ekem speaking to ATLFMNEWS said, “For our industry, I think if the government should give us some sort of tax reverse, it will help a lot. The hospitality industry is the worst affected and so if tax collectors come every day for taxes it will affect the industry a lot. Aside from the support the government gives, I think tax reverse should be given”.
He added “Just before the restrictions, we had a lot of conferences that we were supposed to organize, reservations and a lot of programs but were all cancelled that very weekend. We were operating less than 5% because of the restrictions and the lockdown and you could see the cost we were incurring considering paying workers and utilities.”
President Nana Addo Dankwa Akufo-Addo has given an assurance that besides the GH¢600 million stimulus package earmarked for small and medium enterprises, the government is working to secure bigger funds to support other industries in the wake of the COVID-19 pandemic.
He said aside from GH¢3 billion from the commercial banks and the recovery funds secured from the International Monetary Fund (IMF), the government was also negotiating with the World Bank for funds, while at the same time planning to pump larger sums into the economy to support and empower the production sectors.
President Akufo-Addo gave the assurance when he met players in the tourism and hospitality industry in the country to discuss the impact of the pandemic on their industry and how to get out of the crisis.
Hotels all over the country have remained shut due to the pandemic. Majority of the staff working in these facilities have been either relieved off their posts permanently or have been temporarily asked to go home receiving no salaries.
Source: Nyodi Pouliwe/Margaret Agana/ATL FM NEWS
