Business News of Monday, 2 December 2013

Source: The Scandal

After 2.5% VAT: Gov’t introduces 27 fresh levies

The Scandal newspaper has catalogued the number of new levies introduced by government barely two weeks since the Parliament of Ghana passed into law a 2.5% upward adjustment in VAT.

It is barely two weeks since the Parliament of Ghana passed into law a 2.5% upward adjustment in the Value Added Tax (VAT) but only last week, the Legislature once again passed into law as many as twenty seven (27) different levies including mortuary fees.

Mortuary fees at Pantang Hospital will jump from GH3.00 to GHc5.00 per day for the first week, then GHc7.00 per day for the second week and GH12.00 per day in the third week. Food and Drugs Board has also been given the approval to increase registration fees for imported goods like tooth paste, detergents, mosquito coils and spray, soap, cosmetics, food supplements veterinary medicines and many more.

The Ministry of Finance in July presented to Parliament the fresh: proposals by some twenty-nine (29) Ministries, Departments and Agencies for an upward review of their fees and charges across board for the public services they render.

The new levies came into being last week after going through the mandatory 21 days count of Parliamentary sitting.

The Departments and Agencies which had their fees and charges increased at various percentages included the Driver and Vehicle Licensing Authority, Ghana Highway Authority, some Government Hospitals and Medical Facilities and Ghana Tourism Board.

Others were; the Ghana Standards Authority, Food and Drugs Board, Ghana Free Zones Board, Ghana Immigration Service, Narcotics Control Board, the Pharmacy Council, Ghana Prisons Service, Lands Commission, Plant Protection and Regulatory Service, Ghana National Fire Service and the Wa Polytechnic.

The Wa Polytechnic is the only educational institution listed by the Ministry of Education with proposals to increase their Academic Facility User Fees, Admission Fees, Registration Fees, Examination Fees, Matriculation Fees, Library Fees and Sports Fees among several other fees.

Per the passage by Parliament, new entrants into the Wa Polytechnic will now pay Academic Facility User fee of GHcl38.00 instead of GHcl25.00. Tuition Fees will climb up from GHcl92.00 to GHc211.00. Examination fees from GHc55.00 to Ghc61.00, and Sports fees from GHc45.00 to GHc50.00.

The Korle-Bu Teaching Hospital and the Pantang Hospital have also received the approval to increase fees for Diagnostic services, Dental/Oral charges, surgical operations and medical examinations and several other services.

Parliament has also given Pantang Hospital the approval to increase mortuary fees, feeding and accommodation, OPD services, laboratory tests charges, consultation charges, documentation and sanitation fees among several other fees.

The FDA will also increase registration fees for local medicinal products, herbal products, clinical trial authorization, permits for the export of palm oil, movement of un-iodated salt, street vendors and chop bars, licensed canteens and several others fees for old and new items.

The Ghana Immigration Service is also set to raise fees for work permits, residence permits, transit permits, re-entry permits, emergency entry permits, student permits, expired visitors permits, aliens' identity cards, and many other fees for violations of immigration laws.

The Ghana Tourism Board will also increase fees for registration, licensing, permit and operational fees for all forms of Accommodation and Establishments under the Board. Consequently, all Hotels, Motels, Hostels, Guesthouses, Holiday Apartments, Tourism Facilities, Catering Services, Entertainment Centers, Car Rental Companies and Conferencing Facilities will attract new and higher fees.

For example, a Grade One Night Club will now pay a license fee of GHc450.00 instead of GHc250.00. Travel and Tour Operators will now pay GHc200.00 instead of GHc95.00. A Grade One Theatre or Movie House will now attract a license fee of GHc500,00 while a Grade One Conference Facility will pay GH10,000.00.

Under the Ministry of Foreign Affairs, the cost of passport forms are to go up, processing and renewal fees will go up, endorsement and authentication fees will go up, visa fees, cost of travel certificates and dual citizenship forms and processing will all go up in some selected countries in Africa, Asia and Europe.

At the Driver and Vehicle Licensing Authority (DVLA), Road Worthiness and Road User fees, Licensing duties, Vehicle Registration and all manner of fees are to go up.

Fees and charges for most of the permits, forms, licenses and other services at the Lands Commission are also to go up.