Consumers should be prepared to pay more on goods and services effective today [Tuesday], \u00a0following the implementation of\u00a0the 3 percent VAT flat rate.<\/p>\n
Businesses are expected to input the rate into their pricing as the implementation commences.<\/p>\n
Last week, some business associations that had argued that the tax creates a situation of inconvenience to businesses last week met with the Vice President, Dr. Mahamudu Bawumia for the policy to be scrapped, but the meeting failed to meet their demands.<\/p>\n
The Executive Secretary of the Importers and Exporters Association of Ghana, Sampson Asaaki Awingobit told\u00a0Citi Business News<\/strong>\u00a0they will go ahead with the price increase while they await the new directive from the Presidency.<\/p>\n He complained that the new system makes it difficult for importers since they have to first pay before they file for a refund.<\/p>\n \u201cWith the current law, what it states is that the importer can bring it, clear it at the port, pay with 17.5% VAT tax and when it is time for selling of goods that is cleared at the port, do invoice to them at 17.5% and come to government for reclaim but invoice to them at 3% meaning the difference of 14.5% is a cost to the importer,\u201d he said.<\/p>\n \u201cIs government expecting the importer to add it to the final consumer? If that\u2019s the case that\u2019s going to be a burden and I don\u2019t think that is. And it is also not going to be business friendly because it is going to add up to the cost of operations,\u201d he added.<\/p>\n Mr. Awingobit warned that there must a systematic way to address the issue to avert the situation from escalating.<\/p>\n \u201cMind you some of these our people are also paying utility bills and that can be a cascading effect on the final consumer. That is not what government is looking for,\u201d he said.<\/p>\n –<\/p>\n By: Pius Amihere Eduku\/Jessica Ayorkor Aryee\/citibusinessnews.com\/Ghana<\/p>\n","protected":false},"excerpt":{"rendered":" Consumers should be prepared to pay more on goods and services effective today [Tuesday], \u00a0following the implementation of\u00a0the 3 percent VAT flat rate. Businesses are expected to input the rate into their pricing as the implementation commences. Last week, some business associations that had argued that the tax creates a situation of inconvenience to businesses […]<\/p>\n","protected":false},"author":14,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[32,171,10,11],"tags":[],"class_list":["post-333739","post","type-post","status-publish","format-standard","hentry","category-business","category-local-economy","category-slider-1","category-top-stories"],"_links":{"self":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/333739","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=333739"}],"version-history":[{"count":0,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/333739\/revisions"}],"wp:attachment":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=333739"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=333739"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=333739"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}