Business News of Wednesday, 5 November 1997

Source: --

Government To Review Tax Exemption For NGOs

Tamale (Northern Region), 4 Nov., Government is reviewing the wide range of tax exemptions granted to non-governmental organisations (NGO's). This is to enable the government to regain revenue being lost, Alhaji Muhammad Mumuni, Minister of Employment and Social Welfare, said in Tamale today. He was speaking at the joint-launching of the Northern Ghana Network for Development and the Ghana National Human Development Report prepared by a network of 45 NGO's in the Northern, Upper East and Upper West regions. The minister explained that the exemption regimes which include income tax, customs duties and visa fees will have to be revisited so that employees of ''these organizations will at least not avoid tax on their earnings''. The ceremony was part of a five-day general meeting of the network which would among others discuss human development in the context of Northern Ghana, opportunities and challenges, exploring further advocacy and networking opportunities and targets for the year. Alhaji Mumuni questioned the genuineness of the motives behind the formation of some NGOs, saying ''there has been instances when people hide behind these organizations to dabble in politics or amass wealth. ''There are indications that some NGO's are able to persuade donors to part with substantial financial and other resources which are either misapplied or never find their way into the country. Now we are going to be extremely vigilant to smoke out these criminals,'' he added.