Accra: Dr Agnes Naa Momo Lartey, the Minister of Gender, Children and Social Protection, has highlighted the need for a balanced approach to reforms concerning Ghana's tax-free thresholds. While acknowledging the appeal of raising these thresholds, Dr. Lartey emphasized the necessity of aligning such reforms with the state's fiscal capabilities.
According to Ghana News Agency, Dr. Lartey underscored the importance of addressing issues of fairness, inclusivity, and gender equity in the Ghanaian tax system, as highlighted in a recent study on the Personal Income Tax-Free Threshold. She stressed that any reforms should aim to alleviate burdens on vulnerable groups while maintaining the stability of public finances to support essential services.
Dr. Lartey, who also serves as the Member of Parliament for Ledzokuku Constituency in Accra, made these remarks at the National Tax Forum 2025 in Accra. The event, organized by Revenue Mobilisation Africa (RMA), focused on the theme "Tax Policies for Social Protection" and is part of the Promoting Tax Equity in Ghana Project (PROTEG).
The Minister acknowledged the fiscal challenges faced by the government, particularly in funding social protection programs like school feeding and the Livelihood Empowerment Against Poverty (LEAP). Despite revenue constraints and significant debt servicing obligations, she praised the government's efforts, led by President John Dramani Mahama, to increase investments in social welfare.
Significantly, Dr. Lartey noted that the government has raised the LEAP programme's budget to 953 million cedis in 2025, up from 720 million cedis in 2024, thereby expanding its reach to 400,000 vulnerable households. She highlighted the positive impact of this increase on households, particularly those headed by women, in managing rising living costs and ensuring children's access to education.
In a related address, Mrs. Elsie Appau-Klu, Technical Advisor to the Commissioner General of the Ghana Revenue Authority, urged citizens to view tax payment as a national duty, which empowers them to demand accountability in the use of tax revenues. She emphasized that even small contributions could significantly aid national development in sectors like education, health, and infrastructure.
Manye Naki Azangma, Queen Mother of Dodowa and Chairperson of the occasion, spoke on the perpetuation of inequality by the current tax system. She advocated for a more progressive tax system that closes gaps between the rich and the poor, ensuring fair contributions from all, particularly from the wealthy and large corporations.
Manye Azangma called for simplified tax laws, closure of tax loopholes, and increased transparency in tax collection and utilization. She emphasized the need for public education on tax equity to foster a culture of tax compliance and social responsibility, ultimately advocating for a fairer tax system that promotes economic growth and reduces inequality.
