The Finance Minister, Ken Ofori-Atta, has said that the Nana Addo-led administration has withdrawn the Luxury Vehicles Levy owing to suggestions from the general public.
Presenting the mid-year budget review statement on the floor of parliament on Monday, 29 July 2019, Mr Ofori-Atta said, “Mr. Speaker, government in 2018 introduced the Luxury Vehicles Levy to raise revenue. We have noted suggestions from the general public on the implementation of this tax and Mr. Speaker, as a listening Government, we are proposing to the House, the withdrawal of the levy. We will continue to improve compliance, expand the tax net and explore other innovative sources of raising revenue.”
The government collected some GH¢21.3 million in taxes from the use of vehicles with engine capacities of 2.9 litres and above between August and December last year, provisional fiscal data on public finances for last year has shown.
Vehicle and Asset Dealers Association, Coalition of Economic Association of Ghana and Coalition of Social Justice held a massive demonstration against the Levy on July 9.