We'll scrap betting tax, boost government revenue through compliance - Ato Forson at vetting
Finance Minister-designate Dr. Cassiel Ato Forson announced during his vetting before Parliament's Appointments Committee on Monday, January 13 2025 that betting and other "nuisance taxes" will be scrapped while government revenue is set to increase.
Responding to a question from Lauretta Korkor Asante, the Member of Parliament (MP) for Atiwa West, about how the NDC government would bridge the revenue gap after scrapping taxes, Dr Ato Forson unveiled an ambitious plan to boost Ghana's tax revenue from 13.8% to 18% of GDP, without introducing new taxes.
The betting tax, which generates just 50 million cedis annually, would be among the first to go. "The noise with the betting tax does not comprehend the imposition of such a tax," he stated, suggesting that removing it would not harm Ghana's economic progress.
Explaining how Ghana will pay its bills with fewer taxes? Dr Ato Forson's answer was targeted at better collection, not more collection. "You don't necessarily have to increase taxes before you rake in revenue," he noted.
The minister-designate's plan centres on improved tax compliance and efficient collection systems, working hand-in-hand with the GRA to seal revenue leakages.
He emphasised that cutting government expenditure and reducing borrowing would be crucial to his strategy.
Dr AtoForson assured Ghanaians that burdensome taxes would be scrapped while maintaining sustainable revenue generation.
When pressed about possible IMF funding, he clarified that while additional financing remains an option "if the need arises," it's not the immediate plan, he added