The National Financial Secretary for Ghana Union of Traders Association (GUTA), Nana Kwabena Pepprah who doubles as GUTA Greater Accra Chairman has pleaded with government to consider the payment of flat Value Added Tax (VAT) rate to boost the payment of taxes.
Speaking with Kwaku Dawuro on Movement In The Morning Show, Nana Kwabena Pepprah stressed that GUTA is not against the payment of VAT but against the disparities that exist in the payment.
Speaking he said that ‘’we support the payment of taxes and VAT because it is the only way we can build our economy. GUTA’s challenge is the discrimination that exist in the payment. We have people who pay standard rate which is 19.25% , others pay the flat rate which is 4% and there are people who don’t pay at all. Meanwhile these three groups of people are selling similar items and the consumers end at buying from the ones who do not pay VAT because the prices of their items are little lower’’.
”We have had several discussions with Ghana Revenue Authority (GRA) to look at flat VAT rate for all traders to ensure everyone pays task, and to reduce the percentage of the standard rates because these are the same people who are providing employment for majority of the people”, he stated.
Explaining further he said that ”due to high standard VAT rate, we take off the VAT so customers can buy from us. We pay the VAT ourselves. Our concerns are legitimate, government should pay heed to our request”.
He stressed that payment of VAT should be a flat rate.