Introduction direct tax play a vital tool for revenue collection in Ghana

Wissenschaftlicher Aufsatz aus dem Jahr 2014 im Fachbereich VWL - Geldtheorie, Geldpolitik, , Sprache: Deutsch, Abstract: The introduction of direct tax has been a vital tool for revenue collection in Ghana. This study reveals that, revenue acquired from this type of tax is considered very crucial in the development of the country, hence a major source of revenue to the government. Direct tax was introduced in Ghana to subject the assessable income of income earners to tax, but unfortunately in Ghana, the collection of tax is confronted with numerous problems and thus tax evasion, tax avoidance, improper books of account, non-compliance of tax laws and inadequate logistics. This research therefore aims at evaluating the effectiveness of direct tax administration in the informal sector in Ghana. Questionnaires were administered to five (5) staff members of the Internal Revenue Service (IRS) and twenty-five (25) to the traders of the Abossey Okai environs. A simple sampling technique was used to aid in the selection of respondents. Responses from the IRS staff and the traders of the Abossey Okai environs were tabulated and analyzed. The study finds out that the traders in Abossey Okai are ignorant about what direct tax is about. However one major recommendation is for IRS to make it their priority to embark on educational programs for the traders in the Abossey Okai environs in order to enhance the effectiveness of direct tax administration in the informal sector in Ghana.


Dr. David Ackah was born in the Western part of Ghana, precisely Egyambra in the Ahanta West District. He had his basic and secondary education from Egyambra Basic Education, and Esiama Secondary School. He then obtains Diploma in Economics and Business Management from Colorado Technical University, and Community College of Southern Nevada. Dr. David Ackah again continues his education to University College of Management Studies - UCOMS to read BSc Accounting, as life goes on, he had an admission to study at Atlantic International University at Hawaii precisely Honolulu in USA and Colorado Technical University to read Master of Science (MSc) and Master of Philosophy (M.Phil.) in Economics, with his hard working, he had 3.98 GPA score after his Master of Science in Economics, with this, he again obtain an admssion with automatic enrolment to study Doctor of Philosophy in Economics. Dr. Ackah also studies other professional course from the following institutions: Managing and Marketing Sales Association (MAMSA in Cherish England), Standard Diploma in Sales Management, Institute of Commercial Management (ICM in UK), Diploma in Marketing, and Institute of Export and Shipping Management (IESM in Ghana) Diploma in Marketing & Salesmanship Dr. Ackah has work with many companies like Tobinco Pharmaceutical Ltd as Marketing Manager in Takoradi, Nutraculture Indian Pharma as Country Manager in Ghana, and Pharmanova Ltd as a Regional Marketing Manager and Teaches in many Colleges, and Secondary schools. Currently He is a Lecturer in Kwame Nkruma University of Science and Technology, Institute of Distance Learning - KNUST and CEO of Regaro Group of Companies