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Luxury vehicle owners dodge new tax

botchway August 8, 2018


From William Nlanjerbor JALULAH, Bolgatanga  .

All owners of luxury vehicles who have visited the office of the Driver and Vehicle Licensing Authority (DVLA) in the Upper East Region to either register or renew the road worthy certificates of their vehicles, turned away because they could not afford, the new rate, the acting Upper East Regional Director of the DVLA, Mr. Abdulai Mutawakilu has revealed.

Parliament has passed the Luxury Vehicle Levy Act to impose an annual levy on vehicles with high engine capacities. The implementation of this law took effect from Wednesday, August 1, 2018.

Vehicles with an engine capacity of 2,950 Cubic Centimeters (cc) and more are required to pay the respective levies. Owners of vehicles with engine capacities of 2,950cc to 3,549cc will pay GH¢1,000 annually, while those with 3,550cc to 4,049cc will pay GH¢1,500, and above 4,049cc GH¢2,000.

But in the Upper East Region, the DVLA has said owners of affected vehicles whose road worthy certificates expired and went to renew, or those who sought to register new vehicles affected, turned away because they claimed the rates were too high.

In an interview with The Chronicle, Mr. Mutawakilu suggested that the Ministry of Finance and Economic Planning must fashion out a programme to educate the public on the new policy.

They only asked the DVLA, as an implementing agency, to collect, but for the reasons why you have to pay ‘ABCD’, was supposed to be done by the Ministry of Finance.

“We expected that the Ministry of Finance will do more education on this. It’s the responsibility of the Ministry of Finance to give the general public why so, and explain some of the reasons why those are being done,” he said.

He warned that the authority would, however, launch an operation to clamp down vehicles whose road worthy documents are expired, or new vehicles without road worthy documents.

He said: “Since they are still on the road, we go onto the road as usual, when we chance [on] any of them, we pick up the vehicle and we park it, that is all!”

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