GUTA is also using the closure of
their shops to protest against a special three per cent levy imposed on
imports as well as a 2.5 per cent increase in the Value Added Tax (VAT)
together with the continued depreciation of the local currency, the
Cedi, which they said had affected their businesses.
“The unfair and unjust government policies, coupled with the inability of state institutions to effectively monitor and enforce compliance with the law governing doing business in the country, are terribly affecting our businesses in these country,” Mr Ofori said.
The
association said, an Inter Agency Taskforce set up by the ministry of
trade and industry to monitor and enforce the compliance with the Ghana
Investment Promotion Centre has not been effective.
Consequently,
it said foreigners have been able to circumvent the law whilst the
authorities looked on whilst the laws are broken with impunity.
He
said, “in the case of the VAT, we have on several occasions complained
about the disparities in the collection system-the standard rate, the
flat rate and those who do not charge at all in the informal sector,”
adding that, “we insist on uniformity for the flat rate only to make
compliance easier, bring about parity and ensure fairness.”
Mr
Ofori said, the depreciation of the Cedi had also affected members of
the association because since January to June this year, the real value
of members working capital had been reduced at a fast rate which is
leading most of them to bankruptcy.
He said, the
members of GUTA see the depreciation of the currency as deliberate move
by the government to opt for devaluation as form of indirect tax to beef
up government revenue.
The association blamed the
government for the numerous economic crises that had engulfed the
country as well as turning the country into a dumping ground for shoddy
foreign goods which has affected the growth of local industries.
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