Dr. Mahamudu Bawumia, the presidential candidate for the New Patriotic Party (NPP), has restated his dedication to instituting a flat tax rate system in the event of his victory in the upcoming December 7 election.
During his speech at a youth forum in Accra, Bawumia outlined his plan for a streamlined tax system that would alleviate the financial strain on businesses and simplify tax obligations for individuals of all income levels in Ghana.
He stated that implementing a flat tax rate would provide substantial benefits to both individuals and businesses, ensuring that the government can still generate necessary revenue for important national initiatives.
Bawumia emphasized his government’s dedication to promoting a business-friendly environment in Ghana, aiming to facilitate economic development, draw in foreign investors, and eliminate obstacles to business formalization.
His argument was that a simple tax system would improve the collection of revenue by diminishing the incentives for tax evasion and avoidance.
He suggested that simplifying the tax process for taxpayers would not only be beneficial but also strengthen the nation’s financial base, paving a more sustainable path for Ghana’s economic development.
After analyzing various systems, I am convinced that a flat tax system would greatly benefit Ghana. My government will introduce a straightforward flat tax system that is easy for citizens and businesses to understand and use.
A flat tax rate based on income would be implemented for individuals and businesses, with exemptions set at appropriate levels to ensure that the poor are protected. Completing your tax return will be a breeze with the new tax regime in place. We will streamline our complex corporate tax system and the VAT regime.
