Real estate sector players are expressing concerns over the government’s reintroduction of a 17.5 per cent Value Added Tax (VAT) on the sale of immovable properties.
They argue that the tax is hindering sector growth and criticize the lack of consultation prior to its reintroduction.
Industry representatives urge the government to abolish the tax as part of its commitment to refrain from introducing additional taxes in the mid-year budget review scheduled for Tuesday, July 23.
Samuel Amegayibor, the Executive Secretary of the Ghana Real Estate Developers’ Association (GREDA), voiced his frustration: “They never engaged us. All of a sudden, there is a directive that the tax should be implemented, and then they have gone ahead to develop guidelines without consulting a major stakeholder like GREDA. So how do you expect us to be your agent of tax collection if you don’t involve us in the guidelines? I was surprised. I saw a copy of this guideline just last night.”
He further added, “As the Executive Secretary of GREDA, I have not seen what my sector is supposed to help implement for the government to make revenue. Then what are we doing? I think these are some of the things that we are talking about.”
