Many people have accused the Ghanaian government of being insensitive, and the government currently charges between 55% and 100% tax on 15 goods that Ghanaians buy.
The majority of these products are daily necessities for the populace. The 50%-120% tax applied to the goods means that each time you purchase the product, you pay twice the price. For instance, if the government is charging 100% tax on, say, a bottle of fruit juice, if you are to pay GHS10 for a bottle, you will pay GHS20.00. The difference of GHS10.00 is the tax component.
Sad as government charges 55%–120% tax on 15 goods in Ghana
| ALL VALUES IN GHS | ||||
| Product | Price without tax | Price with tax | Tax in GHS | Tax % |
| Tin of Milk | 8.5 | 15.50 | 7.00 | 82.35 |
| Spaghetti | 1.9 | 4 | 2.10 | 110.53 |
| Juice | 38 | 70 | 32.00 | 84.21 |
| Tin tomatoes | 7 | 13 | 6.00 | 85.71 |
| Cement bag | 58 | 90 | 32.00 | 55.17 |
| Bear (Bottle) | 5 | 11 | 6.00 | 120.00 |
| Perfumed rice (50KG) | 410 | 770 | 360.00 | 87.80 |
| Non perfumed rice (50KG) | 300 | 650 | 350.00 | 116.67 |
| Sugar (50KG) | 490 | 930 | 440.00 | 89.80 |
| Chicken (Imported) KG | 23 | 40 | 17.00 | 73.91 |
| Chicken (local) kg | 130 | 130.00 | ||
| Cooking oil (Box) | 170 | 375 | 205.00 | 120.59 |
| Used gas cooker | 900 | 1700 | 800.00 | 88.89 |
| Sardine (Box) | 220 | 460 | 240.00 | 109.09 |
| Car battery | 600 | 1200 | 600.00 | 100.00 |
According to a JoyNews news item that Ghana Education News saw, at least 15 well-known products have received the 100% tax.
The data you provided shows that the prices of many products in Ghana are high, given the harsh economic conditions Ghanaians are facing. For example, the price of a tin of milk is GHS 15.50, which is over a day’s wage for many Ghanaians. The price of a box of cooking oil is GHS 375, which is a significant portion of a month’s income for many people.
The high prices of goods and services are due to a number of factors, including:
- High inflation: Ghana has been experiencing high inflation in recent years, which has driven up the prices of goods and services. Inflation was 40.4% in September 2023, the highest level in over two decades.
- Low incomes: The average monthly income in Ghana is around GHS 1,000, which is very low compared to many other countries. This means that Ghanaians have to spend a large proportion of their income on essential goods and services.
- Taxes: Taxes on many goods and services in Ghana are high. This further drives up the prices of goods and services.
The high prices of goods and services are making it very difficult for Ghanaians to make ends meet. Many people are struggling to afford basic necessities such as food and shelter. The high prices are also having a negative impact on businesses, as people are spending less money on non-essential goods and services.
The Ghanaian government needs to take steps to address the high prices of goods and services. This could include reducing taxes on essential goods and services, providing subsidies to low-income households, and investing in measures to increase incomes.
High prices of goods and services are impacting Ghanaians in several ways.
- Many Ghanaians are having to skip meals or reduce their food intake in order to save money. If you have heard of the 0-0-1, 1-0-0, 0-1-0 formation in Ghana, then you understand that people are skipping meals just to survive.
- Some Ghanaians are having to move to cheaper housing or sell their belongings in order to afford basic necessities.
- Businesses are struggling to stay afloat due to declining sales, high taxes, unfavourable exchange rates, and inflation.
- Unemployment is rising on a daily basis, with more graduates joining the labour market after each graduation ceremony held by institutions.
The high prices of goods and services are a major challenge for Ghana. The government needs to take action to address this issue in order to improve the lives of its citizens and boost the economy.
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