Eight tax reliefs granted in the 2024 Budget Statement

The government as announced a raft of measures to cushion businesses in the 2024 Budget presented to Parliament on Wednesday (15 November) by Finance Minister Ken Ofori-Atta.

The tax reliefs numbering about eight introduced in the 2024 Budget are expected to cushion individuals and businesses in the country.

They include an introduction of a 5% flat rate for VAT to replace the existing 15% on all commercial properties  and a waiver on import duties on electric vehicles imported into the country for public transportation.

Presenting the 2024 Budget Statement in Parliament on Wednesday (15 November 2023), the minister also announced plans to grant import duty waivers for raw materials for the manufacture of sanitary pads.

“Mr. Speaker, further to the above, the following reliefs have been prioritised for implementation,” he said.

Here are the reliefs below:

i. Extend zero rate of VAT on locally manufactured African prints for two (2) more years.

ii. Waive import duties on import of electric vehicles for public transportation for a period of 8 years

iii. Waive import duties on semi-knocked down and completely knocked down Electric vehicles imported by registered EV assembly companies in Ghana for a period of 8 years.

iv. Extend zero rate of VAT on locally assembled vehicles for 2 more years;

V. Zero rate VAT on locally produced sanitary pads.

Vi. Grant import duty waivers for raw materials for the local manufacture of sanitary pads.

Vii. Grant exemptions on the importation of agricultural machinery equipment and inputs and medical consumables, raw materials for the pharmaceutical industry.

Viii. A VAT flat rate of 5% to replace the 15% standard VAT rate on all commercial properties will be introduced to simplify administration.