Three Minority Members of Parliament have sued the Ghana Revenue Authority, (GRA) and the Finance Ministry over plans to grant tax waivers to 42 companies under the 1 District 1 Factory Initiative.
The MPs want the Supreme Court to suspend the tax waivers since it does not augur well for the country.
The One District One Factory (1D1F) initiative is the vision of His Excellency the President, Nana Addo Dankwa Akufo-Addo to change the nature of Ghana’s economy from one which is dependent on the import and export of raw materials to one which is focused on manufacturing, value addition and export of processed goods.
The three MPs, Bernard Ahiafor, MP Akatsi South, Kwame Agbodza, MP for Adaklu and Emmanuel Armah-Kofi Buah, MP for Ellembelle say the move by the GRA is not in the best interest of Ghana.
The three say the tax waivers are inconsistent with and in contravention of Article 174 of the 1992 Constitution, describing it as unconstitutional. They are seeking the Supreme Court to declare it null, void and of no effect.
Bernard Ahiafor says that he wants the Supreme Court must come to the aid of the country.
“It appears Article 174 of the Constitution is being violated, the Supreme Court is giving an exclusive jurisdiction to interpret, therefore, any citizen who is aggrieved that a particular portion of the Constitution is being contravened, the remedy available is to seek for interpretation and declaration at the Supreme Court which is the apex court.
“That is exactly what we have done in the circumstance, we’re seeking relief against the ones that are being implemented and the ones that are yet to be implemented,” the MP Akatsi South said.
On May 20, the government released the tax waiver request list of companies under the 1D1F.
In 2021, the Ministry of Finance began processes to secure approximately $USD 335,072,712.13 in tax exemptions for some 42 companies under the government’s One District One Factory initiative.
The Exemptions Act, 2022 (Act 1083) was presented in Parliament by the former Minister for Finance, Ken Ofori-Atta, in 2022.
Among the companies, the newly established Sentuo Oil Refinery Limited has the highest figure of $164,633,012.00.
Source: Citi News, GAT
