Revenue generating companies in the country have expressed their readiness to adjust and position themselves to implement the tax cuts that may be announced by the Finance Minster in the budget later this week.
The Nana Akufo-Addo administration during the 2016 campaign period announced measures to review some taxes that were deemed nuisance and a disincentive to private businesses.
Speaking to Citi Business News on how the reviews will implemented by some revenue generating firms, the Managing Director of West Blue Consulting, Valentina Mintah disclosed that there is close collaboration to ascertain the effect of the tax cuts on the economy while revenue leakages are blocked.
“We are working very closely with the Ministry of Finance; we are working very closely with the GRA. The objective of this government is to reduce the over burdensome taxes on duties. At the same time you need to ensure that you have an efficient collection of revenue to be able to make up to fill that gap and also exceed the revenue target,” she said.
She maintained that a comprehensive assessment needs to be conducted and tested to ascertain the impact of any tax cut on revenue generation.
“So what we are doing is to work with government, to use the system to be able to identify the patterns and trends to identify loopholes to make projects. For example, if this exemption is going to be introduced , what’s the impact on the economy so that we can work on those predictions using business intelligence reporting tools to work together to be able to overcome the shortfalls that may be realized due to the abolishing or the removal of the taxes or duties,” she said.
She emphasized the need to collaborate with all the state revenue generating agencies to properly assess the impact.
It is a collective effort, the system would be able to provide the data, the system would be able to detect the loopholes government would then have to look at how to effectively stop that permanently.
By: Lawrence Segbefia/citibusinessnews.com/Ghana