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Regional News of Tuesday, 25 August 2009

Source: GNA

Traditional rulers schooled on revenue mobilization

Kumasi, Aug. 25, GNA - Mr. Eugene Ofosuhene, Director, Revenue Agencies Governing Board, has said that with the current global recession, revenue mobilization has become a serious business agenda of the government.

He has therefore urged traditional rulers to assist the revenue collection agencies to improve the revenue base to support the provision of infrastructure like roads, hospitals and schools. Mr. Ofosuhene was speaking at a joint workshop organized for the National House of Chiefs by the Board and the German Development Cooperation (GTZ) in Kumasi. "Improving Tax Culture: The Role of Traditional Authorities in Ghana" was the theme.

Participating were personnel of the Customs, Excise and Preventive Service (CEPS), Internal Revenue Service (IRS) and the Value Added Tax (VAT) Service.

Mr Ofosuhene said the success of the government to a large extent would depend on its ability to provide the people with development projects to enhance their living conditions. The Director noted that the tax compliance in the country had over the years faced a lot of challenges as most the people and institutions were reluctant to honour their tax obligations to the state. Mr. Ofosuhene said to remedy the situation and promote voluntary compliance the revenue collection agencies were intensifying tax education.

Ms. Anne Anipa, Assistant Commissioner of Tax at the Public Relations Department of CEPS in Accra, said about 55 per cent of the National Tax Revenue was used to finance the country's recurrent budget on development projects.

She noted that in spite of the efforts by the Service to improve the tax system in the country, there were still some bottlenecks facing the institution in the collection of taxes, and appealed to the chiefs to help in revenue mobilization.

She urged the public to give information about smugglers and tax evaders for punitive action to be taken against them. Dr. David Ngeyen-Thahn, Project Leader of GTZ, said chiefs could do more to help in the dissemination of tax information and education. He advised CEPS, IRS and the VAT Service to adopt effective and pragmatic measures, and intensify their educational campaigns to create the needed awareness among the people. Wulugu Naba Pugansoa Naa Professor John S. Nabila, President of the National House of Chiefs, pledged the chiefs' readiness to facilitate the process of tax collection in their communities. 25 Aug. 09