Tax system failing women and the vulnerable, forum calls for urgent reforms

The 2025 National Tax Forum has called for urgent reforms in Ghana’s tax system to ensure fairness, gender inclusion, and stronger protection for vulnerable groups, especially women and informal sector workers.

The forum, held in Accra on Wednesday, September 10, was organized by Revenue Mobilisation Africa (RMA) in partnership with the Ghana Integrity Initiative (GII), Trade Union Congress (TUC), and the Ghana Revenue Authority (GRA) under the Promoting Tax Equity in Ghana Project. It brought together policymakers, civil society, development partners, and tax administrators under the theme: “Tax Policies for Social Protection.”

Delivering the keynote address, the Minister of Gender, Children and Social Protection, Dr. Agnes Naa Momo Lartey, noted that Ghana’s current tax regime disproportionately burdens women, who make up more than 70% of the informal sector.

“The study shows clearly that women who make up seven out of ten workers in the informal sector are particularly disadvantaged under the current tax regime. Many women earn just above the existing tax-free threshold, yet their income remains far below what is needed to sustain themselves and their families,” She said.

Dr. Lartey stressed that fiscal policies must take into account unpaid care work and the socio-economic realities of women. She cited the government’s expanded LEAP programme, which will cover 400,000 households in 2024, as evidence of the state’s commitment to cushioning vulnerable families.

Speaking on behalf of the GRA Commissioner-General, Madam Elsie Appau-Klu, Deputy Commissioner-General of GRA, highlighted Ghana’s low tax-to-GDP ratio of 13.8%, below the 21% African average recommended by the African Union.

She urged citizens to view tax payment not just as an obligation but as a civic responsibility.
“Tax payment should be considered a responsibility that gives you a piece of the table to voice out when things are misapplied,” she said, stressing that broadening compliance strengthens accountability in governance.

Appau-Klu outlined reforms, including the rollout of a Modified Tax Transaction System for SMEs and changes in VAT administration, to make taxation more equitable.

In a speech delivered on behalf of the Finance Minister, Mr. Daniel Nuer, Technical Advisor at the Ministry of Finance, emphasized the dual role of taxation: raising revenue and safeguarding social welfare.

He pointed to past and current interventions, such as exemptions for essential medicines, zero-rating of sanitary products, the NHIL, GETFund, and levies on alcohol and sugary beverages, as examples of how Ghana has used taxes to both generate revenue and promote social protection.

“Domestic resource mobilisation remains key,” Nuer said, urging collaboration with civil society and international partners to design inclusive fiscal policies.

Organizers of the forum, Revenue Mobilisation Africa (RMA), reiterated that promoting tax equity goes beyond compliance to ensuring fairness in the system.

Executive Director, Geoffrey Ocansey, said the forum was designed to provide “a dialogic platform” for policy engagement between government, taxpayers, and civil society.

Experts at the forum warned that without reforms, Ghana risks overburdening low-income earners while giving away billions in tax exemptions. According to the Finance Ministry, Ghana forfeits nearly GHC 5 billion annually in exemptions, roughly 2% of GDP.

With the country’s debt servicing obligations consuming more than half of revenues, participants stressed that widening the tax net fairly, not simply raising rates, remains Ghana’s most sustainable path toward social protection and national development.

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