As part of its outreach and visitation efforts, the Zonal Branch of the Ghana Shippers’ Authority (GSA) met with the Northern Motor Dealers Association on 18th February 2024 at their meeting grounds in Tamale. During the meeting, members raised concerns about harassment from tax collectors at the Ghana Revenue Authority (GRA) – Internal Revenue Division.
In response, the Zonal Office wrote to the Internal Revenue Division, requesting officers to educate the dealers on their tax obligations and to address their complaints directly. This sensitization session was held on 26th May 2024.
Revenue Officer at the GRA, Mr. Abdulai Fatawu addressing members of the Association
At the session, the dealers clarified that there are two categories of dealers: those who import vehicles directly and those who procure from major importers and sell on a commission basis. Revenue Officer at the GRA, Mr. Abdulai Fatawu provided detailed explanations regarding the tax obligations for both categories. He ensured that all members of the association were well-informed about their respective responsibilities by breaking down the tax requirements in a clear and understandable manner.
For the direct importers, Mr. Fatawu outlined the specific taxes and duties they are required to pay upon bringing vehicles into the country. He explained the processes involved, including documentation, valuation of vehicles, and the deadlines for tax payments.
For those operating on a commission basis, he clarified the obligations related to income tax and how their earnings should be reported and taxed. He also addressed common misconceptions and provided examples to illustrate how the tax laws apply to their specific business models.
A member of the Association asking a question.
Additionally, Mr. Fatawu discussed the importance of keeping accurate records and offered guidance on how to maintain proper documentation to avoid disputes with tax authorities. He assured the dealers that the GRA is committed to working with them to ensure compliance and to minimize any undue stress or harassment from tax collectors.
The meeting concluded with a resolution to hold further engagements at individual shops for more in-depth discussions on the issues raised. Both the GRA officers and the association members expressed their gratitude to the GSA for organizing the sensitization and facilitating this important dialogue.
The Zonal Manager of the GSA provided a brief background of the Authority and its mandate, emphasizing the importance of a strengthened relationship with motor dealers. He highlighted the GSA’s commitment to resolving challenges and making international trade more efficient and convenient for all stakeholders. By fostering collaboration between the public and private sectors, the GSA aims to create a supportive environment for the growth of the motor trading industry in the region.
This initiative is part of the GSA’s broader strategy to enhance the capacity of local businesses and ensure compliance with regulatory requirements, ultimately contributing to the economic development of the Northern Zone.