Mr Cudjoe expressed apprehension that the next president would face constrained fiscal space to generate revenue to address the country’s needs, considering the multitude of tax policies in place.
In an interview with Citi TV on Saturday, January 13, Mr. Cudjoe underscored the significance of prudent economic management in navigating the challenges posed by the various tax measures.
“I think it is important to be very careful how we want to deal with this economy. I pity the next president of this country because what it means is that you are going to deal with this nonsense of taxes and there will be no breathing room at all,” he stated.
His remarks come in the wake of the recent introduction of the Value Added Tax (VAT) on residential electricity consumption, which took effect from January 1.
Mr. Cudjoe foresees the potential for more taxes, considering the government’s expressed necessity for heightened revenue.
There are growing calls from the Minority and energy experts for the reversal of the Value Added Tax imposed on some categories of residential electricity consumers.
In a letter communicating the Finance Ministry’s policy to the Public Utility Regulatory Commission, Finance Minister Ken Ofori Atta states that any electricity consumption above lifeline units will attract the value-added levy.
The ministry explains that the move is part of the government’s Covid-19 recovery programme.