Member of Parliament (MP) for Tano North, Dr. Gideon Boako, has expressed concerns about the removal of the betting tax and E-levy by the Mahama-led government, warning that it could violate Ghana’s fiscal commitments under the International Monetary Fund (IMF) programme.
His comments came in response to remarks by Dr Cassiel Ato Forson, the Finance Minister-Designate, who suggested that the Mahama administration would eliminate these taxes in its first budget and offset the revenue loss through spending cuts.
In an interview, Dr. Boako questioned whether such measures would align with the fiscal policies agreed upon with the International Monetary Fund (IMF), emphasising that the government should avoid introducing new taxes to cover the gap left by the tax removals.
“We don’t want a situation where you give with your left hand and take with your right. If taxes are being cut, they should remain cut without introducing new taxes in their place,” Dr. Boako said.
“If they want to remove the E-levy, betting tax, and other taxes, they must ensure that these changes do not jeopardise the debt sustainability and revenue targets agreed with the IMF.”
He cautioned that introducing new taxes indirectly to fill the gap would go against the spirit of the IMF programme, which aims to balance debt service with sustainable revenue generation.