The Ghana Online Drivers Union (GODU) is threatening a nationwide strike if stakeholders do not address their concerns on the introduction of the Vehicle Income Tax(VIT) for ride-hailing drivers.
They have urged stakeholders to engage the association’s leadership before introducing the VIT for ride-hailing drivers.
This follows an announcement by the Ghana Revenue Authority (GRA) that ride-hailing vehicle owners will start paying the new tax effective January 1, 2024.
In a notice, GRA said the levy was in accordance with Section 22 of Regulations 2016, LI 2244, which indicates that “any commercial vehicle owner that earns income from the operation of a commercial vehicle shall pay income tax quarterly”.
The authority, therefore, urged ride-hailing companies operating in Ghana – Uber, Yango and Bolt – to update their digital platforms to incorporate the new tax requirements.
However, in response to this, GODU says GRA must postpone the implementation of the VIT and initiate discussions with the union to address their concerns.
GODU argued that the ride-hailing sector lacks proper legislative regulations, making it unclear whether drivers can be classified as commercial vehicle owners.
It has subsequently threatened to pass on the payment of the fees to customers or riders should GRA go ahead and implement the new VIT.
Find the statement from the union below:
