ACEP has called on government to abolish the 3% withholding tax by the GRA
The Africa Centre for Energy Policy (ACEP) has revealed that majority of small scale miners do not receive a tax certificate for paying the 3% withholding tax, Joy News has reported.
ACEP has however called on government to abolish the 3% withholding tax by the Ghana Revenue Authority (GRA).
The energy think tank’s latest report showed that 95% of
Read full articlesmall scale miners sampled, said they never received a tax certificate for 3% withholdings payments to gold buyers.
This comes on the heels of a leaked document from the Precious Minerals Marketing Company (PMMC) revealing that since the introduction of the 3% withholding, the purchase and export of gold has witnessed a downward dive.
PMMC has complained to the Finance Ministry over the 3% withholding tax on gold trade.
According to the company, foreign and local gold buyers have raised major issues on the withholding tax on gold purchase.
PMMC added that profits of buyers become meagre after paying the withholding tax and this has also affected government revenue.
The exporters have also complained of not being able to get the commodities to buy because the producers sell to those who do not demand the 3% withholding tax.
This development also means government is losing revenue as the gold producers and buyers are either storing or smuggling their commodities through illegal routes.
