It also provided the platform for the business community to understand the key changes that had occurred since January 2017.

The Business Breakfast brought together business executives from different industries in the country, comprising both CCIFG members and non-members.

The well-attended event offered participants an opportunity to get the much needed insight into some of the tax implications on the key stakeholders of companies, in particular, shareholders, employees, suppliers and customers. Mistakes often made by businesses which ultimately increased their costs and/or negatively impacted their reputation were highlighted.

The event also discussed some of the potential implications of reductions, increases and removal of some existing taxes in line with the current government’s 2016 manifesto.

The guest speaker from PwC, Mr Abeku Gyan-Quansah, announced the reduction of the general branch profit tax rate from 10 per cent to eight per cent and the carry forward of tax losses available to all industries.

He cautioned business executives to take note of the expanded definition of Value Added Taxes on entertainment expenses, income tax impact on concessionary loans given to employees and the reduction of time periods for making income tax refund applications from six years to three years.

Mr Gyan-Quansah noted that although it would be beneficial for entities to be financed by debt, care should be in order to prevent negative consequences on the company.

He highlighted some increasing areas of tax disputes such as transfer pricing and recommended companies dealing with sister companies abroad to have appropriate documentation to support such transactions to have transfer pricing documentations to defend their inter-company pricing arrangements.

Mr Gyan-Quansah also mentioned an area that was often overlooked which had to do with changes required by accounting systems and procurement procedures to align with changes in tax laws; for example, ensuring that businesses avoided dealing with suppliers that did not have Taxpayer Identification Numbers (TINs).

Reviewing some assertions of the new government, Mr Gyan-Quansah highlighted that the government might be looking to reduce certain taxes and eliminate others.

To match this potential revenue loss, the government was likely to broaden the tax base and focus more on tax compliance.

This will mean the Ghana Revenue Authority (GRA) was likely to focus on the enforcement of tax laws.

The penalty regime in Ghana as a result of the introduction of the Revenue Administration Act was more punitive and incorrect returns might potentially lead to penalties of up to 100 per cent of the tax shortfall.

Hence, he stressed the need to ensure compliance with tax laws, including filing requirements, such as annual corporate income tax, transfer pricing and annual employers’ deduction returns on time.