Parliament Approves Report On Tax Waiver

Parliament has approved a request for a waiver of tax and duty liabilities of over 4.6 million dollars on equipment and materials to be imported and purchased locally in respect of the execution of the Mampong water supply rehabilitation and expansion project.

The waiver also covers corporate and expatriate income taxes of over GHȼ 1.3 million in respect of the same project.

Mr James Klutse, Chairman of the Finance Committee read the report which was seconded by Dr Anthony Akoto Osei, member for Old Tafo Thursday in Parliament.

Mr Klutse said Parliament last year approved by resolution a credit agreement between government and the Export-Import Bank of the US for an amount of 23.1 million dollars for the construction of the water supply and expansion project.

The total amount of liabilities and materials and corporate as well as expatriate income taxes required to be waived for the project is 4,666,833 dollars and GHȼ 1,368,139.38 million respectively.

Mampong is a growing Municipality in the Ashanti Region with a current population of 58,000 inhabitants and a huge potential for agro industrial processing.

The Mampong Water Supply system was last rehabilitated in 1998. The current rehabilitation and expansion of the system is aimed at meeting the demand for potable water in the Municipality up to the year 2020 for a projected population of approximately 90,000 people.

The capacity of the existing water supply system in the area, which depends on raw water from River Kyeremfa is inadequate to meet the increasing demand leading to serious water shortages during the dry season.

The project will enable Ghana Water Company Limited to enhance access to potable water and improve productivity of the inhabitants to pave way for the economic development and growth of the area and also maximize the social and health benefits of clean and reliable drinking water.

Source: GNA