The Minority in Parliament has served notice to the government it will not accept any further tax increases or new tax handles in the 2022 budget.
According to the side, despite claims by the Akufo-Addo/Bawumia government that they have reduced taxes and levies in the petroleum sector, the facts point to a complete opposite to the situation on the ground.
They called for the reduction and abolition of taxes going forward to cushion the already impoverished Ghanaians who are going through excruciating poverty.
The Minority made the call at a press briefing in Parliament on Tuesday 26th October, 2021 addressed by Ranking Member on the Committee on Mines and Energy, John Jinapor.
He argued that Ghana is a net exporter of crude oil and must therefore benefit from any price increment at the world market and not the contrary.
He stressed it is untenable to punish Ghanaians with astronomical fuel hikes on the back of world crude price increments, which is an irony and contradiction that should not be tolerated.
According to him, within a spate of just one year fuel prices have risen from GH¢4.77 per litre to GH¢6.8 per litre representing a 43% increment under the current government.
These astronomical increases, he said, has resulted in untold hardship threatening the lives of ordinary Ghanaians and stressed the fuel price increase at the pumps and its attendant high cost of living to the ordinary Ghanaian cannot be glossed over.
The NPP, he said, in opposition promised to abolish the energy sector levies and described them as obnoxious and yet now in government the so-called obnoxious taxes have been retained in addition to increases in existing taxes and in some instances introducing new draconian taxes that continue to worsen the living conditions of the already impoverished population.
“A critical look at the price buildup of petroleum products at the pump reveals that taxes, levies and margins alone account for almost 40% of the final ex-pump price,” he said.
The Minority, he said, demands suspension of the Special Petroleum Tax imposed on petroleum products in the 2022 budget to provide some respite for Ghanaians from the agonizing high cost of fuel at the pump.
“We make this demand because crude price which was pegged at a bench-mark price of $54.75 dollar per barrel in the 2021 budget statement has risen to over $85 representing an increment of over 55%.”
Mr. Jinapor also called for the suspension of the 10 pesewas per litre sanitation levy in view of the fact that the country continues to be engulfed in filth despite the levy.
He urged Vice President Mahamudu Bawumia to stop giving false assurances on the dollar as it has the tendency to negatively impact business confidence.
The government, he said, has continuously claimed the economy was on track, and that Ghana was ready for a takeoff and questioned what has changed adding, “We, therefore, demand the abolishing of these taxes.”
