Ride-hailing drivers in Ghana are opposing a plan by the country’s revenue authority to introduce a vehicle income tax, slated to start on January 1, 2024.
The tax notice states that commercial vehicle owners earning income must pay quarterly income tax. Ride-hailing companies like Uber, Bolt, and Yango are required to ensure drivers pay this tax by verifying their VIT payment before allowing them to operate.
Drivers are concerned, stating that they already pay commissions to the ride-hailing companies, and adding another tax layer increases financial challenges.
This regulation follows Ghana’s previous efforts to levy taxes on ride-hailing, including a levy introduced in April on every trip. The move received criticism, particularly considering Ghana’s relatively low tax-to-GDP ratio compared to other African countries.
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