Vision for Alternative Development (VALD) Ghana, is in support of calls to the government to implement Sin Tax on various products in the country.
The sin tax is an excise tax specifically levied on certain goods deemed harmful to society and individuals, such as alcohol tobacco, candies, drugs, soft drinks, fast foods, coffee, sugar, among others.
The group states that the tax if implemented will ensure proper consumption of the products in the country.
“The essence is to reduce the burden of health implications the country has been faced with”, Programs Director for VALD Labram Musah stated.
He revealed that the country stands a risk of losing over 94, 000 people annually to these products, mentioning “cancers, diabetes and strokes” as some health implications that arise from the use of these products.
He added that the problem with the usage of the product is the inability to ensure proper regulation on the usage of the products.
“We have alcohol; tobacco, commodities all over us and no proper measures have been put in place to check the availability and affordability in the market”
He also revealed that there hasn’t been any tax increment on tobacco products since 2014 and this state has been responsible for the irresponsible consumption of the products.
“The World Health Organization has actually recommended that progressive tax on these commodities helps in reducing the consumption of such products.
“It helps in the reduction of usage of these products, reduce health burden and also serve as a revenue stream for the government”, Musah added.
He also stated that alcohol has also not been taxed in about ten years, a situation he described as a bad omen for the country’s economy.
Musah explained, “this means that continuously, prices of the product become cheaper and cheaper in the market”, adding that the cheap state of these products in the market, in turn, increases its consumption among the poor and vulnerable.
He stated that the situation in the outside world {which has seen development} is different, accusing the outside world of allegedly pushing these products of which he described as being of low quality into Africa.
“That is why we are calling on government as a matter of urgency to heed our calls”, he said.
The organisation is optimistic about the implementation of the Sin tax because previous taxes have worked.
He also stated that other organisations and stakeholders in the health sector, who have been consulted, are ready for the implementation of the tax.
He, however, urged the Finance Ministry to ensure the implementation of the tax, stating that it is to ensure the reduction of health problems in the country.
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