BUSINESSNEWS

Parliament approves $11m tax waivers for three companies

Parliament on Wednesday, November 3, 2021, granted tax exemptions totalling $11,441,638.32 to B5 Plus Limited under Government’s One District One Factory (1D1F) Initiative.

Parliament on Wednesday, November 3, 2021, granted tax exemptions totalling $11,441,638.32 to B5 Plus Limited under Government’s One District One Factory (1D1F) Initiative.

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B5 Plus is a local company operating under the Government’s One District One Factory (1D1F) policy which is designed to promote industrialisation, boost investments and create jobs in the country.

The tax waivers are in the areas of Import Duties, GET Fund Levy, Import NHIL, Import VAT and EXIM Levy on materials, plants, machinery and equipment or parts to be imported under the implementation of the 1D1F programme.

The approval followed the Finance of Committee Parliament’s recommendation to the House to approve the Government’s request with regard to the tax waivers to the company.

The request was laid in the House on Thursday, 10th June 2021 by the Minister responsible for Parliamentary Affairs Osei Kyei-Mensah-Bonsu on behalf of the Minister for Finance in accordance with Article 174(2) of the Constitution and referred to the Finance Committee for the report in pursuant to the Standing Orders of the House.

The Chairman of the Committee Kwaku Kwarteng presenting its report indicated that provisions of Article 174 (2) of the Constitution empower the legislative body to confer power on any person or authority to waive or vary a tax imposed by an Act of Parliament.

He said the exercise of any such power conferred on any person or authority to waive or vary a tax in favour of any person or authority is by the said provisions, made subject to the approval of Parliament by resolution.

The Obuasi West lawmaker indicated that the tax waivers for the 1D1F programmes are aimed at creating jobs for Ghanaians through the setting up of factories and industries which will, in turn, move the country towards greater industrialisation.

He posited that the initiative will create massive employment particularly for the youth in the affected communities, thereby improving income levels and standard of living as well as promoting exports and increasing foreign exchange earnings to support the government’s development agenda.

The Ranking Member of the Committee Cassiel Ato Forson seconding the motion said the tax waivers will help change the nature of the economy from one dependent on import and export of raw material to one focused on manufacturing, value addition and export of processed goods.

The MP for Adaklu, Governs Kwame Agbodza in his contribution entreated the House as part of its oversight responsibility to undertake monitoring visits to companies granted tax exemptions to ensure that the tax waivers granted are not misapplied.

In another development, the House by a resolution approved the request to waive various taxes totalling $311,383.56 to Cascade Development Company Limited and the Gold Coast Resorts International Limited.

The tax waivers are Import Duty, Import GET Fund Levy, Import NHIL, Import VAT, EXIM Levy and Special Import Levy and are on materials and vehicles to be procured in the redevelopment of the Accra Race Course including a five-star hotel, shopping mall, office and residential buildings.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Source: freedomradiogh.com

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