Scrapping betting tax will not affect the economy – Ato Forson

Finance Minister-Designate Dr. Cassiel Ato Forson has played down concerns about the economic impact of scrapping the betting tax, citing its relatively minor contribution to the national coffers.

The tax generates less than GHC50 million annually, a drop in the bucket compared to the country’s overall revenue.

Dr. Ato Forson’s remarks came during his vetting by the Appointments Committee of Parliament on January 13, where he emphasized that removing the tax would have minimal economic consequences, provided the government adjusts its expenditure to offset the revenue shortfall.

The Minister-Designate described the betting tax as a “nuisance tax” that doesn’t bring in significant revenue, making its removal a non-issue for the economy. This stance aligns with President John Dramani Mahama’s campaign promise to scrap the tax.

In essence, Dr. Ato Forson is saying that the betting tax is a minor contributor to the national revenue and scrapping it won’t have a significant impact on the economy, as long as the government makes the necessary adjustments to its expenditure.

“Some of the taxes are not bringing in any revenue that you should [increase]. For example, the betting tax is bringing in less than GHC50 million a year. It’s a nuisance tax and scrapping GHC50 million will not mean anything in a way that will affect the economy.”

 

Baina Multimedia/Khadijahtu Kubura Kailani

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