Minister of State at the Presidency in charge of Tertiary Education has revealed government’s intention to remove a 25% corporate tax on private universities in the country.
Speaking at the 9th Congregation of the Garden City University College (GCUC) in Kumasi, the Ashanti Region capital, Professor Kwesi Yankah, said the high cost of private of universities is the result of the tax.
“Government is working towards the removal of the 25 per cent corporate tax slapped on private universities which is a rather strange tax law that dramatically appeared in 2013 from nowhere making Ghana the first country ever known to tax private universities,” the Minister said.
He observed that the 25% corporate tax charged private universities deters them from investing any surpluses in growth expansion and innovation.
“It stifles further investment in education and makes it difficult for private universities to avoid fee increases. Indeed, the perception that private universities are expensive is partly due to nuisance tax as well as expensive accreditation processes whose outcomes are then passed on to students. Remove these impediments in the way of the private sector is what President Nana Akufo-Addo is saying and tuition fees will go down,” he said.
Professor Yankah also announced that processes are underway to review accreditation and policies for universities and to remove other impediments where private universities are frustrated by affiliated public universities during mentoring.
President of the Garden City University College, Dr Wilhelmina J. Donkoh, said the scrapping of the 25 per cent corporate tax will reduce tuition cost at private universities.
She expressed delight over the reconstruction of the Kenyasi-Antoa road which affected academic activities of the school.
Story by Ghana | Myjoyonline.com