Renowned Tax Analyst Endorses Government’s Move to Tax Foreign Incomes
Francis Tomore Boi, a respected Tax Analyst, has expressed his support for the government’s decision to tax the foreign incomes of resident Ghanaians. This strategic move is aimed at addressing the revenue shortfall caused by the abandonment of VAT on electricity, a decision that has left a significant gap in government revenue.
In a recent interview with Eyewitness News, Mr. Tomore Boi commended the government for its innovative approach to closing the revenue gap. He referenced a report from the Commissioner General in January, which showed that approximately 70,000 foreign accounts were examined, revealing nearly $3 billion in total. As a result of their analysis, the tax authorities were able to identify and raise about $1.6 billion from individuals who own these foreign accounts.
Mr. Tomore Boi highlighted the importance of compliance with the tax on foreign incomes, emphasizing that the global exchange of information among tax authorities makes it increasingly difficult for individuals to evade taxes. He warned that failure to disclose foreign income could lead to severe penalties, including imprisonment, as tax evasion is considered a criminal offense.
The government is confident that the implementation of this new tax approach will help close the revenue gap and ensure that all residents contribute their fair share. The move has been met with a positive response from experts like Mr. Tomore Boi, who believe that it is a smart and necessary step to strengthen the country’s revenue generation efforts.
