Ghana Grants Tax Waivers For 1D1F Companies

The Parliament in Ghana has this week approved a request from government to grant tax waivers for two companies as part of the One District One Factory Policy (1D1F).

The 1D1F policy is based on one of the key campaign promises of the New Patriotic Party (NPP) ahead of the 2016 General Elections. 

Yedent Agro Bulk Processing Limited and RePatrn Limited have been granted tax waivers of GH¢1,144,723 and GH¢92,579 respectively.

The move follows approvals in May for waivers of import duties, import VAT, GETFund Levy, Import NHIL, EXIM Levy on plant, machinery and equipment or parts, and Corporate Tax for a period of five years as a bundle of incentives to support the 1D1F programme.

However, the move prompted debate between the opposition and ruling party as to the policy, including whether the NPP had promised that government would directly establish a new factory in each district, or if expansion of existing facilities and private sector led development counted.