The Ghana Revenue Authority (GRA) has issued a stark warning to all property owners in Ghana, urging them to settle their property rate bills within 42 days of the bill date or face prosecution. Failure to comply with this directive may lead to the court authorizing the sale of the property to defray the debt. The GRA has emphasized that property rate payers who fail to pay their bills will be prosecuted in accordance with the Local Governance Act 936, Section 154 1.
This move by the GRA comes at a time when the government is exploring various revenue-generating avenues to reduce the country’s debt burden and meet its financial obligations. According to the Executive Member of the Association of Ghana Industries (AGI), Tsonam Akpeloo, property tax is one of the areas where the government can generate revenue, not only through taxing businesses.
Speaking on the Ghana Tonight show on TV3, Tsonam Akpeloo stated that the government needs to reduce its expenditure to reflect the realities of the time and consider reviewing its own expenditure. He further suggested that the GRA should also go round to collect property tax, just as the Electricity Company of Ghana (ECG) has started calling people to pay for their electricity bills, to enable the Authority to mobilize revenue.
The GRA’s warning serves as a wake-up call for property owners who have been defaulting on their property rate payments. The Authority has emphasized the need for property rate payers to pay promptly to avoid any inconvenience. In a tweet, the GRA stated, “Pay promptly to prevent any inconvenience”. This move by the Authority indicates its commitment to ensuring that all property owners comply with the law and meet their financial obligations.
The issue of debt has been a major concern for the Ghanaian government, which is why it is exploring various revenue-generating avenues to reduce the country’s debt burden. The government has been working to improve its fiscal position through measures such as the Debt Management Strategy, which aims to reduce the country’s debt-to-GDP ratio to below 70% by 2025.
According to the Bank of Ghana’s latest Monetary Policy Report, Ghana’s total public debt stood at GHS 332.4 billion as of the end of December 2021, representing 78.4% of GDP. The report also stated that the country’s debt sustainability remained at high risk, with external debt accounting for 56.7% of total public debt.
In light of this, the government needs to explore other revenue-generating avenues to reduce the country’s debt burden and meet its financial obligations. The move by the GRA to warn property rate payers to settle their bills is a step in the right direction. However, the government needs to do more to ensure that all revenue-generating avenues are explored to reduce the country’s debt burden.
The GRA’s warning serves as a reminder to property owners in Ghana to settle their property rate bills promptly to avoid any inconvenience. It also highlights the need for the government to explore various revenue-generating avenues to reduce the country’s debt burden and meet its financial obligations. The government must work to improve its fiscal position and ensure that the country’s debt sustainability remains at a low risk.
Source: Norvanreports
