KFC,Afrikiko charged for non-payment of tourism levy

Food Services Company, KFC and Recreation Centre, Afrikiko both in Accra have been have been charged for non-payment of the Tourism Development Levy, over two years since its inception. 

The two companies are among several hospitality facilities the taskforce visited today as part of the exercise to ensure compliance with the one (1) percent levy. The Tourism Authority spearheaded the operation to clampdown on defaulters of the levy which for now focuses on hotels and restaurants.

JOY BUSINESS’ Abigail Adomako Antwi who was following the taskforce reported the Manager of KFC, Osu branch in response said they didn’t know about the levy and so weren’t charging.

 According to her, the amounts owed by the companies are yet to be calculated using the issued VAT receipts. Officials would be following up to establish the amount as well as penalties to be paid by the entities in question.

She added that Best Western Premiere Hotel had defaulted in the payment of the levy but the amount owed was yet to be established as at the time the report was being filed. The defaulting companies have been given a week’s ultimatum to pay up the monies.

Meanwhile, other hospitality facilities in the capital had however duly complied when the taskforce visited their premises. This included Papaye which had paid over Gh¢ 340,000 to date and Movenpick Hotel which had paid Gh¢ 1.3,000,000.

 The levy is used to establish the Tourism Development Levy which has so far generated  over Gh¢ 9,000,000.

The Board Chairman of the Tourism Authority, Akunu Dake told JOY BUSINESS, the this could have been way higher if all operators had complied.

“This is the first time such an exercise is starting with respect to the levy. We’ve been going through education, stakeholder engagements and so on. It’s not a siege mentality, we need the funding, we need them to be in operation, we just want people to be responsible and also to adhere to the provisions of the Act.

Every tourism operator is expected to submit a return on the levy and if you don’t do so you’re liable to pay the authority a penalty of 1 percent of the amount for each day the default comes up to one month and if unable to do so, the authority shall take legal action to collect the principal, the interest accrued and any penalty accrued and related legal fees.

So entities that have not paid, they’ll have to pay. We’re going to go through their books and we’re going to make sure that this is charged for them to pay” he said.

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