Dr Cassiel Ato Forson, the Minority Leader in Parliament, has accused the administration of being oblivious to the plight of ordinary Ghanaians and has warned citizens that if the 2024 budget is adopted, they will face a 5% VAT on every structure they purchase.
Although citizens were already overwhelmed with taxes, he claims that the 2024 budget has aggravated the issue.
“As you may be aware, the insensitive Akufo-Addo, Bawumia government is also seeking to introduce a new raft of draconian tax measures on the already impoverished Ghanaian on the back of the 2024 budget.”
“These tax measures, which are currently before Parliament, include the following; an imposition of VAT on non-life insurance such as motto or car insurance, marine insurance, fire insurance, building insurance, goods in transit,” he went on to say.
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On Wednesday, December 6, 2023, Dr. Forson spoke at the National Democratic Congress‘ (NDC) Moment of Truth news conference.
The Minority Leader, who also happens to be the MP for Ajumako Enyan Esiam, revealed that the proposed VAT rules were now before Parliament for approval.
Again, if this is adopted, Ghanaians will be required to pay a 5% VAT on every structure acquired.
“He [Akufo-Addo] has also imposed a 5% VAT flat rate on residential and commercial real estate. Ladies and gentlemen, Ghanaians should get ready to pay 5% VAT anytime they buy a house from an individual or a real estate company going forward.
“If this law goes through; the VAT before parliament goes through – if you intend to buy a house, get ready to put 5% aside for President Akufo Addo and Alhaji Bawumia. For every house you buy going forward, you will pay 5% VAT on the quantum of the amount that you are supposed to buy. So if it is GH₵1 million you are buying you will pay GH₵50,000 to President Akufo-Addo and Alhaji Bawumia.”
The Minority Leader also stated that VAT will be placed on stationery products such as paper, pencils, textbooks, and domestic airlines, meaning that anybody purchasing a book or flying domestically will be forced to pay more.
