Rural Banks across the country are currently being charged a tax rate of 25 percent from the initial 8 percent.
This is on the back of government’s claim to have abolished taxes. The impact and reach of those abolished taxes remain to be seen as the cost of doing business has increased and ports charges have almost doubled.
Mr. Asamoah Boateng speaking in exclusive interview with Abusua fm’s Osei Kwadwo at opening ceremony of Odotobri Rural Bank branch at Santasi Roundabout said the 25 percent corporate tax will soon collapse many rural banks.
According to Mr. Asamoah Boateng, government should consider reducing the 25 percent corporate tax to enable rural banks stay in the business.
“For now our major challenge is the corporate tax. The 25 percent corporate tax is killing the business and if care is not taking, many rural banks will collapse. Government should consider the reduction of the corporate tax to enable rural banks stay in the business and continue to support rural areas” he said.
Mr. Asamoah Boateng therefore appealed to the Finance Ministry, government and Ghana Revenue Authority to reduce the 25 percent corporate tax imposed on the rural banks across the country.