Newsletter Signup
Subscribe to receive the AGI monthly newsletter.

AGI Angry Over 'Plethora of Taxes'

20 October 2011
Members of the Association of Ghana Industries (AGI) last Tuesday let loose their individual frustrations over what they described as the Accra Metropolitan Assembly's "plethora of taxes" imposed on businesses operating within the Assembly's catchament area.
The members' frustrations ranged from AMA's bye-laws regarding payment of levies such as postage, business operating permits (BOP), property rates to the frequency and levels at which these fees are increased on annual basis.

The members registered their frustrations aginst the metro's revenue generation policies at a question-and-answer session during the AGI's Impementation of the Regional Action Plan for small and medium-scale enterprises (SMEs) in the Greater Accra Region.  The programme had the MCE of the AMA, Mr Alfred Vanderpuiye, as the Guest Speaker.

While contending that payment of levies to assemblies within which businesses operate was the duty of business entities, some of the members argued that the assembly's taxing regime was "now becoming unbecoming".

"Why should I pay tax for putting an advert on my own wall?  The wall is my wall, the very wall I got permit from the AMA to build to operate my business and so why would the AMA want me to pay them a specific amount just because I kept a poster of my product there", one member of the Association who later pleaded for anonymity said during the discussion.

According to him, AMA's policies on revenue generation "is crippling busineses rather than growing them" and thus called on the Assembly to craft strategies that would motivate the springing up of businesses within the metropolis.

Some of the discussions further challenged the AGI to test the legitimacy of the AMA to charge businesses for using their own walls to advertise their products.

One of the discussants said "I think the AMA must be clear on what revenue it can collect and the ones it cannot.  The AGI must test that in court," Mr Samuel Agyapong Appenteng, said was worth considering.

Some of the discussants also wondered the sort of criteria the Assembly was using to arrive at the 10 per cent yearly increase in the amount charged as BOP fee.

According to them, the AMA ought to be transparent in its dealings with the business community.

Mr Appenteng later observed that "there has been a plethora of taxes itroduced by the AMA in a attempt to generate revenue.  But instead of making it a win-win situation for the business community and the AMA, the Assembly is just working for its own good" and thus called on the AMA revenue generating team to devise strategies that would help put less burden on businesses.

Mrs Lydia Sackey Addy, the Director of Budgeting and a Rating Officer at the AMA, who represented the Mayor, called on business persons to dialogue with the Assembly on issues regarding taxes.

Source:  Daily Graphic, 20/10/11

AGI - Association of Ghana Industries