Parliament approves guidelines to regulate grant of tax waivers for 1D1F projects
Chairman of the Finance Committee in Parliament, Kwaku Kwarteng
Parliament approves guidelines to regulate tax waivers' grant for 1D1F projects
Read full article Government rolls out 1 District 1 Factory programme
106 factories operational under 1D1F, Akufo-Addo
Tax reliefs for new factories to last for first 5 years, Kwaku Kwarteng
Parliament has approved a set of guidelines to regulate the grant of tax waivers for government's One District, One Factory (1D1F) initiative.
Businesses that import goods available in Ghana will not enjoy this tax relief.
Chairman of the Finance Committee in Parliament, Kwaku Kwarteng, while speaking on the floor of parliament on Wednesday noted that these guidelines to be instituted will give room for new factories to enjoy free import GETFUND levy, import NHIS levy, EXIM levy, import duty, corporate income tax for the first five years.
According to him, already existing companies will be expanded which will, in turn, create more jobs for the teeming unemployed youth in the country.
“The reason we’re bringing these guidelines is the fact that this initiative provides incentives to create jobs, spread industrialization, and help companies that are expanding. Paragraph 6(1) of the report says that for companies that are moving to set up factories in new districts have these taxes that they could enjoy relief from; import GETFUND levy, import NHIS levy, EXIM levy, import duty, corporate income tax for the first five years. In paragraph 6(2), we have limited scope of exemptions for companies that are not moving to new districts but are distressed and need help,” he said.
President Nana Addo Dankwa Akufo-Addo earlier this year announced that 106 out of 278 factories under his government's 1D1F initiative were operational.
He added that 148 factories were under construction while 24 were at the mobilization stage.
He made this known during the 2022 State of the Nations Address in parliament.
