Minority Caucus Sounds Alarm on Mining Taxation and AI-Driven Excise Duty Assessments
The Minority Caucus in Parliament, led by Hon. Osahen Alexander Kwamena Afenyo-Markin, has raised concerns over the government’s mining taxation policies and the deployment of AI-driven excise duty assessment systems at Ghana’s ports. In a meeting with the Ghana Employers’ Association (GEA), the caucus highlighted the cumulative burden of royalties, corporate income tax, and other charges on the mining sector, which has led to capital flight.
“The effective tax rate is among the highest of any comparable mining jurisdiction in the world,” the caucus noted. The proposed reduction of mining lease tenure from 30 to 15 years would deter long-term investments, they added.
The caucus also criticized the lack of consultation with industry stakeholders on policy decisions, including labour legislation and VAT restructuring. “Consultation that takes place after a decision has already been made is not consultation,” they emphasized.
On AI-driven excise duty assessments, the caucus expressed concerns about inflated assessments and lack of transparency. “This is not a system detecting fraud, but generating unjust assessments against businesses,” they said.
The Minority Caucus has proposed a quarterly engagement framework with the GEA and urged the government to prioritize genuine consultation with the private sector. They will also table parliamentary questions and statements on the issues raised.
Key Demands
Establish a credible appeals mechanism for AI-generated assessments
Review mining lease tenure and fiscal regime
Improve consultation with industry stakeholders
Address skills misalignment and support local businesses
The Minority Caucus, under the leadership of Hon. Afenyo-Markin, vowed to hold the government accountable for its shortcomings in engaging with the private sector and addressing industry concerns.
