31 companies operating in upstream sector yet to pay corporate taxes – Osei-Asare

Ghana’s oil and gas sector critical for development

31 upstream companies yet to pay corporate taxes, Deputy Finance Minister

The companies are yet to produce sale from crude oil, Auditor-General report

Deputy minister of finance, Abena Osei-Asare has revealed that some 31 companies operating in Ghana’s oil and gas upstream space are yet to pay their corporate taxes, a Graphic Business report has revealed.

The comes after the 2020 Auditor-General Report captured the said companies were at various exploration or development stages in their operations.

Appearing before the Public Accounts Committee hearing on the Management of Petroleum Fund for the year ending December 31 2020, the deputy finance minister on Thursday [December 14, 2021] explained these 31 upstream companies are yet to produce sale from crude oil.

She added that they have since not generated income from which will enable them to pay their corporate taxes.

“This is in line with Section 63 and 65 of the income Tax Act 2015 (Act 896),” Abena Osei-Asare is quoted to have told the Committee.

Meanwhile, Chairman of PAC, James Klutse Avedzi during the hearing indicated that as a result of the Petroleum Revenue Management Act of 2011, Act 815, the Petroleum Holding Fund was established to receive all petroleum revenues to be disbursed.