The Member of Parliament for Nhyiaeso in Kumasi, Ashanti region and former Deputy Minister of Finance, Dr. Stephen Amoah has called for a fundamental shift in Ghana’s approach to taxation.

Speaking on the JoyNews AM Show on March 13, he emphasised the urgent need for a change in both the political parties’ approach and the public’s mindset towards taxes.

Dr. Amoah argued that the current political climate in Ghana has turned taxation into a highly partisan issue, with both the New Patriotic Party (NPP) and the National Democratic Congress (NDC) manipulating tax policies to serve their political interests.

According to him, this has created a negative perception of taxes, with the public often viewing them as burdensome or even “demonic.”

“When the NPP proposes new taxes, people resist. When the NDC tries to implement similar measures, they face the same backlash. It’s clear that there’s a mindset problem,” Dr. Amoah stated.

He highlighted that this issue stems from the way political parties handle tax policies, not as a means to improve the nation’s finances, but as a tool to gain or retain power.

He stressed the importance of shifting away from this political approach to a more responsible and effective one that benefits all Ghanaians.

Dr. Amoah explained that the core problem lies in the mismanagement of Ghana’s fiscal space, pointing out that tax policies are often introduced without a proper understanding of the country’s economic realities, which leads to inefficiencies and poor implementation.

“Taxation should be about sound fiscal management, not just about raising revenue,” he remarked. He added that new taxes should be carefully calibrated to align with the country's economic needs and not used as a political strategy.

In addition, Dr. Amoah highlighted that political decisions often override sound fiscal management, which contributes to inefficiencies within the system.

“Government expenditure, programmes, and financing options should be carefully considered,” he noted. “But too often, decisions are made based on political convenience, leading to leaks, loopholes, and ineffective implementation.”

He concluded by stressing the need to address these areas and plug the leaks and loopholes that exist within the system. “We need to look at these areas and the leakages from politicians through to the implementation of policies. A thorough review and stronger oversight are necessary to ensure that taxes work effectively for the betterment of the country.”