Alhassan Andani, a former Chief Executive Officer (CEO) of Stanbic Bank, is advocating for reforms in Ghana’s tax administration. He has criticized the Ghana Revenue Authority (GRA), describing it as operating like a “terrorist organization” that hampers the growth of many businesses.
According to Mr. Andani, the GRA’s approach to interacting with businesses fosters corruption and stifles the entire private sector. Speaking at the recent Ghana CEO-Presidential Gala Dinner, he stated, “I know of several organizations that feel as though when the GRA comes into their space, they do so intentionally to pressure people for money.”
He described how many CEOs and businesses now feel a sense of dread when dealing with GRA officials, saying, “When GRA is coming, it’s like some terrorists coming.” He expressed the need for the country to undergo tax reforms to rationalise, simplify and reduce the number of taxes businesses pay.
In his speech, he disclosed that some businesses pay as many as 33 different tax obligations which he says does not promote business growth. “Any new tax measures we don’t simplify, and indeed merge and delete some taxes… we just have to rationalize it and give this very emerging capital or private sector people time to breathe,” he stated.
He added further that local industries are struggling from inflation, depreciation, and delayed payments coupled with the tax struggles. These factors, he argued, place private sector operators in a financial bind, affecting their ability to pay taxes on time and leading to more confrontational interactions with the GRA.
Mr Andani noted that while businesses are often willing to meet their tax obligations, they need “some breather room” to maintain cash flow and manage their costs effectively. In his call for the reforms, he highlighted the need to ensure such changes help businesses to thrive rather than overburdening them with taxes.
By: Felix Anim-Appau
