Business News of Thursday, 22 March 2018
Government has indefinitely suspended the Fumigation Levy on imports and exports, barely a month after implementation.
The decision was taken by the Economic Management Team of government after extensive consultation between government and various stakeholders, the Information Minister Mustapha Abdul-Hamid said in a statement on Wednesday.
The Ghana Union of Traders Association (GUTA), Ghana Institute of Freight Forwarders (GIFF) and other stakeholders kicked against the exercise which came into effect on March 1, 2018.
Stakeholders were worried about the additional cost the levy brought to them.
Details of the affected products were not provided in the statement, but government assured they would be “outlined by the Ghana Revenue Authority (GRA) in due course”.
In addition, government also announced the suspension of Import VAT on what it termed 64 commodity groups.
“The Economic Management Team has instructed…that the Ghana Revenue Authority (GRA) suspends with immediate effect the charging of Import VAT on the 64 commodity groups which started on March 1, 2018 leading to an unintended hike in import charges.”
The statement said the suspension is pending an assessment of Harmonized code (HS Codes) for customs which were reviewed effective same date.
The 64 commodity groups for which Import VAT is immediately suspended includes items such as:
Mobile phones, electrical transformers, tractors for agricultural purposes, solar cells, musical instruments, outboard motors, concrete, mortar mixers, and day-old chicks.