The Ghana Revenue Authority (GRA) has asked event organisers to keep proper records and run their events in a very transparent manner to ensure easy honouring of their tax obligations.
It has also urged them to adopt strategies that would enable them to effectively compete and make profit.
The Accra Central Area Enforcement Manager, GRA, Mr Joseph Adjeikwei Annan, made the call during a stakeholder engagement between the GRA and event organisers for the “December in GH” events, organised by the Ghana Tourism Authority, in Accra on Tuesday.
The engagement was to educate and sensitise the event organisers on the need to honour their tax obligations ahead of the “December in GH” events.
Mr Annan said taxes were the life blood of every nation, hence, the GRA has been mandated by law to collect taxes for government and so every individual especially businesses including event organisers must comply when approached.
“Over the years we have monitored events, secured taxes for government from these event organisers but there have been issues between us and them. They resist us, but we believe that going forward we need to engage them more so that they understand the collaboration between GRA and the industry, and make the tax collection easier,” he added.
He explained that, there were two types of taxes namely; direct and indirect taxes, however, event organisers were expected to pay indirect taxes which was collected from patrons of their events to the GRA.
But Mr Annan indicated that, such taxes had been misunderstood by event organisers saying because “they pay to us, some of them always take that as part of their taxes which is not so.”
He said the event organisers only pay direct tax to the GRA at the end of the year over profit made.
“A lots of events will happen in December and so it’s important we engage them to understand their rights and obligation and also let them know why they should pay their taxes because this is the time government also generate some revenue from the taxes to be able to execute some of its plans,” he said.
Mr Annan urged event organisers to make it their duty to pay their taxes to ensure development at all levels.
He advised them not to see tax collectors as enemies but people who could help them make their businesses progress.
The Deputy Chief Executive Officer, in Charge of Operations, GTA, Mr Ben Anane Nsiah, noted that the GRA had a role to play to ensure the laws of the land were obeyed and implemented, therefore “it is important to support them by discharging our civic responsibility of paying our taxes on the events.”
He urged the eventorganisers to comply with the Authority while working together to eliminate any difficulties that may hinder the smooth organisation of their events.
BY VIVIAN ARTHUR