Owners of luxury vehicles with engine capacities of 3 litres or more will now pay an annual tax on their vehicles starting August 1, 2018, according to the Ghana Revenue Authority (GRA).
A couple of weeks ago, Finance Minister, Ken Ofori-Atta during the presentation of the Mid-year Budget Review in Parliament, announced that as part of government's efforts to bridge the gap in revenue for the first half of the year [2018], there is going to be the introduction of luxury vehicle tax.
Vehicles with engine capacities of 3.0 – 3.5 litres will attract an annual tax of 1,000 Ghana cedis; those with engine capacities of 3.6 – 4.0 litres will pay 1,500 cedis annually; while 4.1 litres and above are to pay an annual tax of 2000 Ghana cedis.
Mr Ofori-Atta was quick to add that commercial vehicles will not be included in the levy.
“Commercial vehicles will be exempted from this policy," he indicated.
Speaking in an exclusive interview with Kwami Sefa Kayi on PeaceFM's "Kokrokoo" Show Monday, Commissioner-General of the GRA, Emmanuel Kofi Nti, disclosed that the DVLA will start collecting the 'luxury tax' next month.
"Those already using the vehicles in the country will pay when they are going to renew their roadworthy certificate," he revealed.
In a related development, government expects to rake in at least 300 million cedis in revenue from taxes on luxury vehicles by the end of this year.
The figure was disclosed when Parliament passed the four bills approving the taxes introduced by the government.
Source: Rebecca Addo Tetteh/Peacefmonline.com
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you see, the problem in Ghana is the taxes paid end up in peoples pocket. It wouldn't have been bad to contribute to develop your own country, but the greedy bastard politicians will steal huge sums from the tax payer and still Ghana will be poor. Ghana will never be rich, by more taxes. We have to be prudent in our management. I am 1000% against this, at least it should have started from a lower note than the 1000 Ghana. 2020 will surely come.
NPP is rapidly dissipating the sympathy that brought the party to power. Blinded by power? Wait till 2020, not that far away. No enthusiasm to go and vote so NDC could win back power ... what a shame!!!!!
That is a good practice, everywhere in the world everyone that owns a car pay road tax. It should be all vehicles not luxury cars only. For example, I use VW Golf 4 with 1.6 litres size engine and I do pay annual road tax of £250.00 which is equivalent to 1,578.88GHS and comparing this to what you guys are going to pay is very cheap then. So it should be every car and not luxury cars only . . .Also the newer the car, the cheaper the tax should be, if the car is newer and its hybrid for example, it means it will not emit too much C02 so the tax should be cheaper for those ones and that will motivate people to buy new cars . . . .
IT IS ABOUT TIME WE INTRODUCE ROAD TAX AND SCRAP THE DVLA PAPER ON THE WIND SCREEN AND THIS ***barred word*** 3LT TAX IT WILL NOT HELP ANOTHER PAPER ON THE WINDSCREEN WHAT ABOUT RATE FOR THOSE BIG HOUSES WHAT ABOUT INTRODUCING M.O.T THOUGH THE GOOD OIL COMPANIES AND THE CAR DEALERS THIS WILL NEED A GOOD EDUCATION AND REDUCE MOTOR ACCIDENTS
The solution bridging revenue shortfall is to fix corruption, wanton ***barred word*** ..not more taxation. Chances are someone using so-called luxury vehicle tax is already paying hefty taxes through income,etc. If you milk the cow too much it risks dying!
Hahahahanana…. Some Ghanaians are funny and averse to taxes. Yes that's how it should be. You can't rob peter to pay paul! If you're not rich, don't pretend to be rich. It's even scriptural..to those much is given much is required. Much more is required of the so called rich people to develop the nation than the ordinally guys. There's nothing like equality in taxes. Please keep muuutee and pay. Taxes are meant to be paid based on social class...I mean your income, standard of living etc. that's what happens here in USA and other develop countries. Your tax bracket depends on income or poverty level, where you live (state, part of city or zip code). Even the gas you buy into your car depends on the zip code...if living in rich neighborhood, you got to pay more for things. So if you're not ready for that life style, please don't force yourself. We need money to develop GH and also bridge the poverty Gap. It's fair, don't blame NPP - that's what made America who they are. It's about time govt maximized the taxation system so that people will begin to live responsibly....hahaha I'm loving this!
Are the ages of manufacturing also considered in the payment of the tax? Thus, is it fair for 3.0 cc car with different years of manufacturing and usage pay the same tax? eg. 3.0 -2 years, ........3.0 -12+ years. Als after paying the taxes, are we going to allow the few politicians to squander our money?. We wait to see.
You all the time expect foreign donations. Do you know how much Amerikans pay by way of taxes to raise that money they give to Ghana? How many Amerikan drive SUVs, upon all the vehicles Amerika manufactures. Ghanaians should cut their coats according to their cloths. You have the taste for exorbitant lifestyle but don't want to pay tax. You live in Ghana but always quotes currencies in dollars. Corrupt people!!
Nana addo is more wicked than mahama. So now its only politicans who would be stealing the nation's money and be driving luxury cars. In fact they would not even pay tax on their vehicles because they will forge documents and say its government vehicles. Politicians are doing these so they themselves would be selling luxury cars as business in Ghana. Nana barwumia are only tricksters.
why are GHANAIAN LIKE THAT YOU COUGH UP 50,000 DOLLARS TO BUY THESE CARS BUT DO NOT WANT TO PAY WHEN THE GOVT. WANTS TO RAISE SOME SMALL MONEY FOR PROJECTS.GREEDY BLACKMAN DOES NOT WANT TO PAY ANYTHING WHY