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Business News of Sunday, 31 December 2023

Source: starrfm.com.gh

Ride-hailing drivers to embark on nationwide strike over VIT implementation

One of the ride hailing companies in Ghana One of the ride hailing companies in Ghana

The Ghana Online Drivers Union (GODU) has issued a threat to embark on a nationwide strike should the Ghana Revenue Authority (GRA) neglect to engage in discussions regarding the recently introduced Vehicle Income Tax (VIT) for ride-hailing drivers.

This comes on the back of GRA’s announcement of the new tax, set to be enforced from January 1, 2024.

In a statement, GODU members argue that the decision by the GRA was reached without any consultation with relevant stakeholders, particularly the drivers directly affected by the tax.

They stated that there are no proper legislative regulations in the ride-hailing sector, leading to uncertainty regarding whether drivers can be appropriately classified as commercial vehicle owners subject to the VIT.

As part of the reasons, the drivers said they do not know how much the cost of the VIT is.

They added that they had challenges with the shortcode *222# to verify their vehicles.